FERC Order 676 (2006) — Amendments to Blanket Sales Certificates and Blanket Sales Authorizations

Order 676 established updated procedures for entities seeking to sell wholesale electricity at market-based rates under blanket sales certificates. FERC reformed the market-based rate authorization framework to better ensure that sellers lack market power and to improve transparency in wholesale electricity markets. The order set out a clearer analytical framework for evaluating horizontal and vertical market power and established reporting requirements for market-based rate sellers. These requirements help FERC ensure that wholesale electricity prices remain just and reasonable as required by the Federal Power Act.