High court upholds government's energy conservation program

WASHINGTON (AP) — In a win for the Obama administration and environmental groups, the Supreme Court on Monday upheld a 5-year-old federal program that pays large electric customers to save energy during times of peak demand.

Supporters of the plan say it has saved billions in energy costs, improved reliability of the power grid and reduced air pollution since it was put in place in 2011.

A federal appeals court ruled last year that the plan intrudes on state power because it affects the purchasing decisions of retail customers.

Writing for the court, Justice Elena Kagan said even utility companies don't dispute that the plan curbs prices and enhances overall electric reliability, a key purpose of the Federal Power Act.