Release Number 7472-16
October 18, 2016
CFTC Issues Final Order to Exempt Certain Specified Transactions of Southwest Power Pool and Amendment to the 2013 Final Order Regarding RTOs and ISOs
Washington, DC — The U.S. Commodity Futures Trading Commission (CFTC) today approved a final order in response to a petition from Southwest Power Pool, Inc. (SPP), a Regional Transmission Organization (RTO) regulated by the Federal Energy Regulatory Commission. The Commission agreed unanimously via a seriatim vote.
The final order exempts certain specified transactions of SPP from of the Commodity Exchange Act (CEA) and CFTC regulations, with the exception of the CFTC’s general anti-fraud and anti-manipulation authority, and scienter-based prohibitions. The final order will expressly exempt such transactions from private actions under CEA section 22.
Other than the express addition of the exemption from private actions, the final order for SPP is similar to the March 28, 2013 final order issued by the Commission that exempted certain specified transactions of six other RTOs and Independent System Operators (ISOs) from certain provisions of the CEA and Commission regulations (RTO-ISO Order).
In addition, the CFTC is concurrently issuing an amendment to the RTO-ISO Order to provide that the exemption contained in that order also will expressly exempt the transactions covered under that order from private actions under CEA section 22.
Last Updated: October 18, 2016