FERC Increases Maximum Civil Monetary Penalties

On January 6, 2023, the Federal Energy Regulatory Commission (FERC) issued a  Final Rule to amend its regulations governing the maximum civil monetary penalties assessable for violations of statutes, rules and orders within FERC's jurisdiction. The Final Rule is a result of the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (the “Act”), which requires each federal agency to issue an annual inflation adjustment by January 15 for each civil monetary penalty provided by law within the agency's jurisdiction. The adjustments in the Final Rule represent an increase of approximately 7.7 percent for each covered maximum penalty, which is the largest annual increase since the first adjustment after the Act became law. FERC's adjusted maximum penalty amounts, which will apply at the time of assessment of a civil penalty regardless of the date on which the violation occurred, are set forth  here and will become effective upon publication in the Federal