Supreme Court Rejects Texas’ Power Line Law, Potentially Shaping Future Utility Regulations Nationwide.

The Supreme Court has declined to hear Texas’ defense of its “right of first refusal” (ROFR), law that provided preference for certain utilities to build new power lines across state borders. The law was struck down by a lower bench last year. The Supreme Court’s decision could prevent the adoption of similar restrictive laws in other states. Critics argue that Texas had gone further than other states with ROFR laws by allowing utilities with an in-state presence to build transmission lines. The Federal Energy Regulatory Commission is considering a proposed rulemaking that could overturn this order. The outcome of these cases will determine whether transmission solutions preferred by utilities or if other companies will be able to participate in the process.