On November 17, FERC Staff held a Technical Conference to
discuss the Penalty Guidelines issued on September 17, 2010 and
their impact on compliance and enforcement matters. The first panel
addressed whether the Penalty Guidelines and the seven elements
identified as indicators of an effective compliance program were
helpful to organizations in prioritizing their compliance efforts.
While the panelists acknowledged that the Penalty Guidelines were
helpful, they emphasized that additional clarity and regulatory
certainty are necessary. They requested explanatory language,
concrete examples of compliance and noncompliance, and further
guidance on how penalties are calculated. The second panel examined
the factors considered in calculating civil penalties, and the
panelists commented on whether the volume and duration of
violations should be considered, whether the Penalty Guidelines
should account for the pass-through of gains received from
violations to ratepayers, and
