Ex-energy official claims he presented a plan to the Trump team to reduce his former agency
Other former FERC officials cautioned that ex-FERC chair Neil Chatterjee’s message might lead to a departure of skilled personnel from the agency responsible for overseeing the country’s interstate pipelines and electricity markets during a crucial time for the power sector.
After being demoted from his role as FERC chair by President Donald Trump in 2020, Chatterjee shared an offer on X on Wednesday, indicating his willingness to assist the transition team in pinpointing potential roles for elimination.
This communication faced backlash from other former FERC officials, who cautioned it might lead to a talent drain within the agency, particularly at a time when the power industry is at a critical juncture. Utilities, grid operators, and state regulators have expressed increasing unease about the power network’s capacity to maintain reliability and accommodate new generation sources—from renewables to natural gas—that are essential to satisfying the rising demand driven by new data centers and a manufacturing revival.
In his Wednesday post, he wrote, “For the @realDonaldTrump transition team - it [sic] you want schedule F insight on who to keep and who to remove @ferc please DM me,” referencing a 2020 Trump executive order that facilitates easier firings of regulatory staff. Following this, he mentioned, “They reached out 7 minutes after I tweeted this” in a post shortly past midnight on Thursday.
Chatterjee disclosed to PMG that he provided the administration with “background” information on the agency's operations and offered insights about which areas the agency should protect and which could be considered for cuts. However, he refrained from disclosing specific locations he deemed ripe for reduction.
“These are offices you could squeeze from,” he noted. “These are offices where you really don't want to tinker, because we're talking about the reliability of the electric grid.”
In a subsequent message, Chatterjee explained that his intent was to help FERC staff by elucidating the vital role they serve to the incoming administration. He clarified that his comments about “squeezing” were merely his "personal thoughts" and not something he communicated to the transition team. "I simply focused on describing what all the offices do," he stated. "I didn't recommend ANYTHING."
Karoline Leavitt, a spokesperson for Trump, refrained from commenting on private conversations. She stated, "As for second term policy, the American people re-elected President Trump by a resounding margin giving him a mandate to implement the promises he made on the campaign trail. He will deliver."
Concerns over possible job reductions at FERC surfaced during Trump’s previous administration when then-Chair James Danly began exploring the possibility of converting certain long-protected positions to “at will” status under Schedule F, according to two sources familiar with the discussions who requested anonymity. Danly succeeded Chatterjee as chair in 2020.
These potential staffing alterations could lead to increased turnover at an agency known for its long-serving, expert personnel who navigate the intricate landscape of electricity and gas regulations.
Former Chair Richard Glick, who had collaborated with Chatterjee, expressed that the mere prospect of being dismissed by the new administration could drive "very smart, very dedicated, not partisan" staff to leave the commission. “To lose good people like that because of this threat, it's bad for FERC,” he remarked. “I'm sure that other agencies are going to experience the same exact issue. That's bad for the government. It's bad for governmental efficiency.”
Criticism of Chatterjee from former staff members focused on concerns that his statements were threatening to employees already anxious about job security, warning that the actions taken by the incoming administration at FERC could negatively impact the sectors overseen by the agency.
“FERC has amazingly expert and independent staff that serve the public. It has been recognized as a great place to work," commented Rob Gramlich, who served under former FERC Chair Pat Wood III during George W. Bush’s presidency, in an email. "A political purge would surely do lasting damage to our entire power sector."
“When I worked for a previous Republican FERC Chair, if I had suggested such a thing, he probably would have fired me!” added Gramlich, who now leads the consulting firm Grid Strategies.
Another former senior FERC official, who asked to remain anonymous to avoid professional backlash, expressed profound disappointment, stating, “It’s despicable for former FERC chairman and Commissioner to make a threatening statement like that about FERC staff. FERC employees are some of the most dedicated, the most hard-working professionals I've ever had the privilege to work with.”
Chatterjee’s own tenure as chair ended after the agency issued a policy statement affirming the legal authority of power markets to pursue carbon pricing. He also led significant efforts toward clean energy policy, aimed at reducing barriers for small clean energy resources.
Though he mentioned he has not been approached regarding a future position within the administration, he indicated that being asked would be an honor and worthy of consideration. “I'd have to consider it, but it would be really, really tough for my family, with the fact that college tuition ain't cheap,” he remarked.
Thomas Evans contributed to this report for TROIB News