Home -> Law Blog Directory -> Energy Law Blogs -> Energy Legal Blog

OR PHONE (866) 635-1838 for Bankruptcy Help, (866) 635-6190 for Divorce,
(866) 635-2689 for Personal Injury or (866) 635-9402 for Criminal Defense

Find a Local Lawyer

Bankruptcy (866) 635-1838
Divorce (866) 635-6190
Personal Injury (866) 635-2689
Criminal Defense (866) 635-9402

Energy Law

: Energy Legal Blog

FERC Provides Clarification to Financial Houses' Utility Security Acquisition Authority

By Andrea Kells

ADVERTISEMENTS

Following up on its grant last fall of extensions of blanket authorization to Goldman Sachs (Goldman) and two other financial houses to acquire securities of electric utilities without prior FERC authorization, FERC has now responded to a Goldman request for clarification regarding this new authority. FERC clarified that Goldman is not required to report all utility securities held as collateral, but rather only those securities acquired as a result of a foreclosure on that collateral. The agency reiterated its earlier statement that the conditions imposed on these financial houses are similar to those placed on banks with authorization to acquire securities. The various reports that Goldman must file concerning its activities under this authorization are each subject to a de minimis threshold of security holdings of one percent, and Goldman must continue to file quarterly reports that separately identify the utility securities held in a proprietary capacity. These clarifications, in addition to the order granting the extended blanket authorizations, should inform future efforts by financial entities to obtain comparable authorizations.

Full post as published by Energy Legal Blog on January 10, 2008 (boomark / email).