Practices Energy Law

Interdisciplinary Problem Solving

Over the last two decades the EPG has utilized the full-service expertise of the attorneys at Bernstein Shur to better represent its clients in various forms of disputes and transactions. Although representing only a fraction of the EPG’s full experience in effective interdisciplinary problem solving, the examples below offer a demonstration of how the expertise of Bernstein Shur’s numerous practice groups is brought to bear on behalf of the EPG’s clients.

A major paper mill in Maine wanted to explore the possibility of selling the energy generation portion of its plant to a third party and then buying back the steam used in the mill. Since the plant was under contract to sell electricity to the utility, the transaction would involve assignment of the power purchase agreement to the proposed third party purchaser. Because the mill had been built incrementally over a hundred years, the separation of the facilities raised numerous potential problems.

The EPG assembled a team of lawyers to deal with these problems. Involved issues:

  • Zoning problems created by non-conforming set backs
  • Waste disposal problems created by common drains
  • Permitting issues related to inter-related licensing
  • Maintenance issues related to common raceways, tunnels and pipes
  • Employment issues related to common system use
  • Tax issues both income and municipal
  • Interrelated competing needs arising from process water heating, condensate return, and water discharge limits
  • Integrated management and operations concerns
  • FERC licensing of energy facilities (hydro and thermal)
  • Electrical metering issues
  • Existing financing lien problems
  • Drafting of contracts to address such issues and to allocate risks and liabilities

The EPG lawyers led the team of in-house personnel and outside consultants to identify these issues and to successfully negotiate solutions with the potential buyer, with regulatory agencies, and with the local utility. Without its extensive knowledge of power plant operations (both as a stand-alone operation and as integrated into a paper mill) such representation could not have been provided by local counsel for the client. Many of Bernstein Shur’s energy clients turn to the firm as regular counsel on all aspects of their business because they recognize the superior experience and knowledge of the firm, and the billing rates and work ethic of its lawyers provide a distinct price advantage.