• U.S. Chamber Reply Comments on FERC's Notice of Proposed Rulemaking on Duty of Candor

Letters
December 12, 2022

Dear Secretary Bose: The U.S. Chamber of Commerce’s Global Energy Institute (the Chamber) appreciates the opportunity to reply to other parties’ comments on the Federal Energy Regulatory Commission’s (FERC or the Commission) July 28, 2022 Notice of Proposed Rulemaking titled “Duty of Candor,” Docket No. RM22-20-000.1 The Chamber and our members have a substantial interest in the lawful and appropriate exercise of FERC’s rulemaking powers. We remain concerned that the finalization of this rulemaking would adversely impact public participation in FERC proceedings, impose a chilling effect upon communications relating to a broad range of topics of public importance, and fail to create any offsetting benefits supporting the fair and effective functioning of energy markets.

We agree with many of the significant concerns raised by parties in the Initial Comments to the NOPR. The Chamber and numerous other commenters observed that the proposed Duty of Candor exceeds the Commission’s lawful powers defined by statute, encroaches upon a vast amount of private communications, lacks both a materiality element and an intent element, discourages transparent and voluntary communications with the Commission, encroaches on First Amendment rights, and raises due process concerns. The Chamber maintains that these fundamental flaws warrant withdrawal of the proposed rule.