Court Turns Down State Energy Case

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The Supreme Court on Monday declined to wade into a legal dispute stemming from California’s 2000-2001 energy crisis, the Associated Press reports.


The dispute relates to an effort by California to seek billions of dollars in refunds from a group of power companies that it alleges overcharged consumers during the height of the crisis. The state has argued that it was the victim of widespread price manipulation of its newly deregulated electricity market by energy traders such as the now-defunct Enron Corp.


The justices let stand, without comment, a 2004 ruling by the 9th U.S. Circuit Court of Appeals that directed the Federal Energy Regulatory Commission to consider ordering additional refunds to the state stemming from the 2000-2001 period. FERC had ruled that it lacked the authority to order refunds retroactively, and could only provide refunds once a complaint had been filed. California did not file a complaint with FERC until March 2002.

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