The Federal Energy Regulatory Commission (FERC) denied Cascade Creek LLC, a private company seeking to develop hydropower in Thomas Bay near Petersburg, a pre-development permit.

Cascade Creek previously had a preliminary permit to develop the Cascade Creek Hydroelectric Project. But now, it could be up to local entities to keep the project alive. The fate of the project is in the hands of Southeast Alaska Power Agency (SEAPA) to decide.

SEAPA, along with Petersburg Municipal Power & Light (PMPL) and Ketchikan Public Utilities have all shown interest in the project that would allow for gr...