FERC Sets New England Transmission Owners' Base ROE at 9.57%
According to a regulatory filing, on March 19, 2026, the Federal Energy Regulatory Commission issued Opinion No. 594, addressing several longstanding complaints commencing with Coakley v. Bangor Hydro-Elec. Co., EL11-66-001, et al. regarding the return on equity for New England transmission owners under the ISO New England tariff. Pursuant to the Order, the FERC adopted a new methodology for determining ROE and set NETOs' base ROE at 9.57%, with a maximum including incentives not to exceed 12.09%, retroactive to October 16, 2014. The FERC also ordered refunds with interest for certain periods affected by the decision. The order affects Rhode Island Energy, a wholly-owned subsidiary of PPL Corporation. PPL and RIE are evaluating next steps, including coordinating with the other NETOs, which may include an appeal of the Order. PPL does not expect the Order's potentially relevant components to have a material impact on its operations or financial condition.
