Justia Connecticut Supreme Court Opinion Summaries

In the case, GenConn Energy, LLC, an electricity supplier, appealed to the Supreme Court of Connecticut, arguing that the Public Utilities Regulatory Authority (PURA) overstepped its authority by reducing GenConn's proposed return on capital for two of its peaking generation facilities. These facilities provide additional electricity to Connecticut consumers during times of increased demand. GenConn claimed that PURA was not allowed to lower GenConn's debt rate or to use the general rate-making principles found in a different statute when making its decision.However, the court rejected these arguments. It held that PURA acted within its statutory authority under § 16-243u when it reviewed GenConn's recovery of costs in line with the general rate-making principles of § 16-19e. The court highlighted the interrelated nature of cost recovery and rate setting, and deduced that PURA must be able to protect the interests of ratepayers if it determines that a company is overrecovering. The court also rejected GenConn's argument that PURA's decision was arbitrary and capricious. The court found substantial evidence in the record to support PURA's final decision and concluded that the decision did not constitute an arbitrary and capricious one. Thus, the court affirmed the trial court's dismissal of GenConn's appeal.The court's ruling implies that PURA has the authority to review a peaking generation facility's recoverable costs to ensure that the rates are "sufficient, but no more than sufficient," to cover the facility's operating costs. The decision also emphasizes the importance of PURA’s regulatory authority and the necessity of protecting ratepayers from bearing the financial burden of a company's overrecovery. View "GenConn Energy, LLC v. Public Utilities Regulatory Authority" on Justia Law

The Supreme Court affirmed the decision of the Public Utilities Regulatory Authority (PURA) establishing a regulatory framework for a certain renewable energy product, holding that the trial court correctly correctly determined that the reactions did not violate the dormant commerce clause.In 2020, PURA imposed a series of restrictions on retail electric suppliers offering Connecticut customers voluntary products, known as voluntary renewable offers (VROs), consisting of renewable energy credits (REC) bundled with electric supply. One of the restrictions at issue, the geographic restriction, prohibited VROs from containing RECs sourced outside of particular geographic regions. The other restriction, the marketing restriction, required suppliers to provide clear language informing consumers that a VRO backed by RECs is an energy product backed by RECs rather than a renewable energy itself. Plaintiffs argued that both restrictions violated the dormant commerce clause. The trial court rejected Plaintiffs' commerce clause arguments as to each restriction. The Supreme Court affirmed, holding that there was no error. View "Direct Energy Services, LLC v. Public Utilities Regulatory Authority" on Justia Law

The Supreme Court affirmed the judgment of the trial court dismissing Plaintiff's administrative appeal from the decision of the Connecticut Siting Council approving the application of NTE Connecticut, LLC (NTE) seeking a certificate of environmental compatibility and public need for the construction of an electric generating facility in the town of Killingly, holding that there was no error.Plaintiff, a nonprofit organization, appealed the council's decision to the trial court, arguing that the council improperly refused to consider the environmental impact of installing a gas pipeline to its proposed facility when weighing the public benefit of the facility against its probable environmental impact. The trial court dismissed the appeal, concluding that the council was not required to consider the impact of the gas pipeline. The Supreme Court affirmed, holding that the trial court correctly determined that the council’s refusal to consider the potential environmental impact of the gas pipeline during the proceedings on NTE’s application for a certificate was not arbitrary or capricious. View "Not Another Power Plant v. Connecticut Siting Council" on Justia Law

The Supreme Court reversed the trial court's judgment determining Defendant's method of calculating a supplemental sewerage benefit assessment levied against certain of Plaintiff's real property, holding that the trial court incorrectly determined that Conn. Gen. Stat. 7-249 required Defendant to use the same method to calculate the supplemental assessment as was used to calculate the initial assessment.At issue was whether Defendant had authority to levy a supplemental assessment against Plaintiff's property and, if so, whether it used the correct methodology in calculating that assessment. A predecessor of Defendant levied a sewerage benefit assessment against the owners of the property. Later, the building was demolished and a new commercial office building was constructed in its place. No supplemental assessment was levied as a result of the construction. Plaintiff later purchased the property and converted it into a residential condominium community. Defendant then levied a supplemental assessment on the property. The trial court concluded that Defendant's supplemental assessment calculation violated section 7-249 because it should have been calculated on the basis of street frontage, as was the initial assessment. The Supreme Court reversed in part, holding (1) Defendant had authority to levy the supplemental assessment; and (2) the trial court erred in determining that Defendant incorrectly calculated the supplemental assessment. View "777 Residential, LLC v. Metropolitan District Commission" on Justia Law

The Supreme Court reversed the judgment of the trial court granting summary judgment in favor of Defendant, Southeastern Connecticut Water Authority, on the basis of a rule (Rule) promulgated by Defendant immunizing itself from liability for failures or deficiencies in its supply of water to customers, holding that there was no explicit authorization in the special act creating Defendant that authorized Defendant to promulgate such a rule.Defendant was created in 1967 by a special act of the General Assembly. On the basis of the authority purportedly granted to it by a provision of the special act, Defendant adopted the Rule at issue in this case. Plaintiff later commenced this action seeking damages on the basis of a loss of water service at a hotel operated by Plaintiff. Defendant moved for summary judgment, arguing (1) the Rule immunized it from liability, and (2) the claim was barred by the common-law economic loss doctrine. The trial court rendered summary judgment for Defendant based on the Rule. The Supreme Court reversed and remanded the case, holding that Defendant lacked authority to promulgate a rule that immunized it from liability for disruptions to water service. View "Raspberry Junction Holding, LLC v. Southeastern Connecticut Water Authority" on Justia Law

The Supreme Court adopted the decision of the trial court as a statement of the facts and the applicable law on the issues raised in this case regarding whether Plaintiff’s claim was justiciable and not rendered moot by subsequent legislation or barred by the doctrine of laches.Plaintiff, the town of Glastonbury, brought this action seeking a determination that, prior to 2014, the Metropolitan District Commission (Defendant), a quasi-municipal corporation that provides potable water to eight member and five nonmember towns, unlawfully imposed surcharges on it and other nonmember towns. While the action was pending, the legislature enacted No. 14-21 of the 2014 Special Acts (S.A. 14-21), which authorized Defendant to impose a surcharge on nonmember towns under certain conditions. Defendant filed a motion to dismiss, arguing that S.A. 14-21 was retroactive and rendered Plaintiff’s claim moot. The trial court denied the motion, ruling that the special act was not retroactive and that the surcharges imposed prior to the passage of the special act were unlawful. The Supreme Court affirmed. View "Glastonbury v. Metropolitan District Commission" on Justia Law

The Town of Middlebury and sixteen residents and entities situated in Middlebury and nearby towns (collectively, Plaintiffs), appealed the dismissal of their appeal from the decision of the Connecticut Siting Council granting CPV Towantic, LLC’s petition to open and modify a certificate for an electric generating facility. The Supreme Court affirmed, holding that the trial court properly determined that the council had adequately considered neighborhood concerns in accordance with Conn. Gen. Stat. 16-50p(c)(1) where Plaintiffs failed to meet their burden of proving that the council acted contrary to law and ignored the neighborhood concerns that were presented to it. View "Town of Middlebury v. Connecticut Siting Council" on Justia Law

Kleen Energy Systems, LLC, an electric generating facility, entered into a contract with Connecticut Light and Power Company, an electric distribution company. A dispute subsequently arose concerning the proper interpretation of the contract’s pricing provision. At the request of Waterside Power, LLC, which had entered into a similar contract with Connecticut Light and Power, the Commissioner of Energy and Environmental Protection, acting through the Public Utilities Regulatory Authority (the Authority), conducted proceedings to resolve the dispute. Kleen Energy was a participant in, but not a party to, those proceedings. Waterside subsequently filed a petition for a declaratory ruling challenging the decision. The Authority issued a declaratory ruling denying Waterside relief. Kleen Energy filed an administrative appeal from the Authority’s ruling, claiming that it had a contractual right to submit the dispute to arbitration and that the Authority lacked jurisdiction to issue a declaratory ruling to resolve the dispute. The trial court ultimately concluded (1) the Authority had jurisdiction to issue a declaratory ruling to resolve the dispute, (2) Kleen Energy had waived its contractual right to arbitration, and (3) the Authority had properly resolved the dispute. The Supreme Court reversed, holding that the trial court erred in determining that the Authority had jurisdiction to resolve the pricing dispute. View "Kleen Energy Sys., LLC v. Comm’r of Energy & Envtl. Prot." on Justia Law

The Connecticut Siting Council approved a proposed project of the Connecticut Light and Power Company. Plaintiffs appealed the siting counsel’s decision while the power company’s motion for reconsideration of the decision, with regard to the denial of a second project, was still pending. The siting council subsequently granted the motion for reconsideration and approved the second project. The trial court dismissed Plaintiffs’ appeal. The appellate court affirmed, concluding that the trial court lacked subject matter jurisdiction because Plaintiffs had not appealed from a final decision of the siting council. The Supreme Court affirmed, holding that the appellate court did not err in its judgment.View "Citizens Against Overhead Power Line Constr. v. Conn. Siting Council" on Justia Law