Letter to the Hon. Neil Chatterjee, Chairman of the Federal Energy Regulatory Commission - Senators Join Calls for FERC to Foster Dialogue on Carbon Pricing

Letter

Dear Chairman Chatterjee:

As we all try to make our way through these challenging times, we know that the Commission
schedule remains highly uncertain and subject to change.

You recently received a petition from a broad set of stakeholders that spans the energy industry,
requesting that you convene a technical conference or workshop to discuss frameworks for
integrating carbon emission reduction policies into our wholesale energy markets. Specifically,
the petition requests that FERC look at how carbon pricing can be integrated into our energy
markets in a way that maintains reliable low-cost energy.

We believe this issue warrants more attention from the Commission, especially in light of recent
actions and statements from several grid operators. For example, the New York Independent
System Operator (NYISO), ISO New England, PJM Interconnection, and California Independent
System Operator Corporation have all taken steps or made statements supporting the policy
outlined in the petition. NYISO has taken the most concrete steps and is actively working on
a proposal exploring how a carbon price could be integrated into their energy market. Initial
NYISO reporting shows that such a policy could help the state reach its stated climate policy
goals, while bringing in billions in economic benefits to the state.

The Commission has a rare opportunity to heed the call from a diverse set of energy stakeholders
who want to develop long-term certainty in the energy market with policies that could deploy
and incentivize reliable, low cost, and emissions free energy. Therefore, we request that the
Commission grant the request in this petition.