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Highlights: PA PUC Public Session of September 27, 2012

Note: Audio from each public meeting is available on the Pennsylvania Public Utility Commission’s website for approximately six months.  To access the audio stream for this public meeting, please visit http://www.puc.state.pa.us/general/PMAudio.aspx.  The public meeting calendar and agendas may be viewed at http://www.puc.state.pa.us/general/public_meeting.aspx.

          At the September 27, 2012, Public Meeting of the Pennsylvania Public Utility Commission (“Commission”), the Commissioners adopted Staff’s recommendations for action by a vote of 5-0 on all items listed on the Main Agenda and Carry-In Agenda, except as reflected herein below under the respective Commission agenda headings.  Review of particular items addressed by the Commissioners at this Public Meeting which may be of interest are addressed under the respective Commission agenda headings below.  Any relevant motions and statements are attached hereto and to the original of this Session Memo filed in the Public Meeting Agenda and Session Memo binder.  The next regular Public Meeting is tentatively scheduled for October 11 at 10:00 a.m.  The minutes of the Public Meeting of August 30, 2012, were, by a vote of 5-0, approved without modification.

MAIN AGENDA

 BUREAU OF TECHNICAL UTILITY SERVICES (Transportation)

  • Paradise Transit Inc., 2266294-TAS, A-2011-2266294.  Application for the right to transport as a common carrier by motor vehicle, persons in group and party service in vehicles seating 11 to 15 passengers, including the driver.  RECOMMENDATION:  That the Commission adopt the proposed Order denying and dismissing the application.  Vote 5-0.

BUREAU OF AUDITS

  • All matters approved as submitted.

BUREAU OF CONSUMER SERVICES

  • All matters approved as submitted.

DIRECTOR OF REGULATORY OPERATIONS

  • Investigation of PA’s Retail Electricity Market, 2237952-DIR, I-2011-2237952.  The Commission entered an Order on 4/29/11, initiating this Investigation. Based upon the information that has been gathered, the OCMO has developed an End State Proposal for the Commission to release for discussion by stakeholders at a meeting on 10/17/12.  RECOMMENDATION:  That the Commission adopt the proposed Secretarial Letter and End State Proposal.  Chairman Powelson’s Statement is attached.  Commissioner Cawley’s Concurring and Dissenting Statement is attached.  Vote 4-1.

OFFICE OF SPECIAL ASSISTANTS

  • Samir OuAqerrouch, 2218369-OSA, A-2011-2218369.  The matter was postponed from the 09/13/12 Public Meeting.  Application filed on 11/24/10, seeking approval for the right to transport persons, upon call or demand, in Tinicum Township, Delaware County. Notice was published in the PA Bulletin. A timely Protest was filed by Sawink, Inc., t/d/b/a County Cab Company on 1/31/11. After hearing, the proceeding was transferred to ALJ Melillo. On 2/28/12, OALJ received a call from the Applicant requesting that a hold be placed on the issuance of a decision until mid-April. In her Initial Decision, issued on 6/22/12, ALJ Melillo recommended, inter alia, that the Application be approved. On 7/11/12, Sawink filed Exceptions to the Initial Decision. On 7/20/12, the Applicant filed Reply Exceptions.  RECOMMENDATION:  That the Commission adopt the proposed Opinion and Order that: (1) denies Sawink's Exceptions to the Initial Decision; (2) approves the application; and (3) adopts the Initial Decision as the action of the Commission. Chairman Powelson and Vice Chairman Coleman’s Joint Statement is attached.  Vote 5-0.
  • Windstream Pennsylvania LLC., 2227108-OSA, M-2012-2227108.  Proposed Settlement Agreement filed on 3/23/12, pertaining to an informal investigation of Windstream's "no proration" billing practice. By an Opinion and Order entered 6/7/12, the Commission issued the proposed Settlement Agreement for comment. No comments have been filed.  RECOMMENDATION:  That the Commission adopt the proposed Opinion and Order approving the proposed Settlement Agreement.  Vote 5‑0.

BUREAU OF TECHNICAL UTILITY SERVICES

  • All matters approved as submitted.

LAW BUREAU

  • Interim Guidelines For Natural Gas Distribution Co, 2324075-LAW, M-2012-2324075.  Proposing to initiate guidelines for Natural Gas Eligible Customer Lists similar to those established for the electric industry in 2011.  RECOMMENDATION:  That the Commission approve the proposed Order.  Vote 5-0.

OFFICE OF ADMINISTRATIVE LAW JUDGE

  • Peoples Natural Gas Co LLC, 2285985-ALJ, R-2012-2285985.  Tariffs filed on 2/28/12, proposing changes in rates, rules, and regulations calculated to produce additional annual revenues. By Order entered 4/26/12, the Commission suspended these tariffs until 11/28/12. A Joint Petition for Approval of Settlement of All Issues was filed on 8/8/12, including statements in support.  COMMISSION REVIEW:  That the Commission adopt ALJ Long’s Recommended Decision approving of the Settlement without modification.  Commissioner Cawley’s Statement is attached.  Vote 5-0.
  • UGI Central Penn Gas Inc., 2302219-ALJ, R-2012-2302219.  Annual purchased gas cost filing pursuant to 52 Pa. Code §§53.64 and 53.65, filed on 6/1/12, proposing PGC rates for residential, non-residential, Rates N, CIAC, IS and GL, were reductions from rates in effect on 6/1/12. On 8/10/12, a Stipulation In Settlement of Section 1307(f) Rate Investigation was filed. COMMISSION REVIEW:  That the Commission adopt ALJ Melillo’s Recommended Decision approving the Settlement without modification.  Commissioner Cawley’s and Commissioner Gardner’s Joint Statement is attached.  Vote 5-0. 
  • UGI Utilities, Inc - Gas Division, 2302220-ALJ, R-2012-2302220.  Annual purchased gas cost filing pursuant to 52 Pa. Code §§53.64 and 53.65, filed on 6/1/12, proposing modifications to UGI’s Tariff Gas – Pa. P.U.C. No. 5. PGC rates for Rate R Customers and for Rate N customers were reductions from rates in effect on 6/1/12. On 8/13/12, a Stipulation In Settlement of Section 1307(f) Rate Investigation was filed.  COMMISSION REVIEW: That the Commission adopt ALJ Melillo’s Recommended Decision approving the Settlement.  Commissioner Cawley’s and Commissioner Gardner’s Joint Statement is attached.  Vote 5-0. 

CARRY-IN AGENDA

CASES OF SPECIAL INTEREST

  • PECO Energy Company-Electric, 2283641-OSA, P-2012-2283641.  Petition filed on 1/13/12, requesting approval of its DSP II for the period from 6/1/13 to 5/31/15.  Following an on-the-record proceeding, a Recommended Decision by ALJ Buckley was issued on 8/28/12. Exceptions and/or Reply Exceptions were filed by PECO, the OCA, the OSBA, the Bureau of I&E, Dominion Retail, and Interstate Gas Supply, FirstEnergy Solutions, and PPL EnergyPlus, the Retail Energy Supply Association, Green Mountain Energy, the Joint Suppliers Group, the Philadelphia Area Industrial Energy Users Group and the Coalition for Affordable Utility Services and Energy Efficiency in Pennsylvania.  RECOMMENDATION:  That the Commission conduct a BINDING POLL of the outstanding issues litigated in this proceeding.  The Binding Poll is attached.  Commissioner Witmer’s Motions and Statement are attached.  Vote 5-0.

Binding Pole Issues and Results

  1. Residential Class Procurement.  RESA’S 10% Spot Purchases Proposal.  Vote 5-0 for the ALJ’s recommendation.
  1. Medium Commercial Class Procurement.  Vote 5-0 for the ALJ’s recommendation.
  1. Large Commercial and Industrial Class Procurement.  Vote 4-1 for RESA’s proposal.
  1. Extension of Supply Contracts Beyond May 31, 2015.  Vote 4-1 for the ALJ’s recommendation.
  1. Load Cap.  Vote 5-0 for the ALJ’s recommendation.
  1. Rate Design and Cost Recovery.  Reconciliation of Default Service Costs and Revenues for Residential, Small and Medium Commercial Classes.  Vote 5-0 for Dominion/IGS’s proposal.
  1. Rate Design and Cost Recovery.  EDC Recovery of Additional PJM Costs-Generation Deactivation; NITS; RTEP and Expansion Costs; and Economic Load Response (ELR) Program Costs.  Vote 5-0 for the ALJ’s recommendation.
  1. Rate Design and Cost Recovery—Costs Included in the GSA Charge:  Recovery of Incremental IT costs.  Vote 5-0 for ALJ’s recommendation. 
  1. Rate Design and Cost Recovery—Ratemaking Treatment of Auction Revenue Rights.  Vote 4-1 for RESA’s and OCA’s proposals.
  1. Rate Design and Cost Recovery—Elimination of the Alternative Energy Portfolio Standards Surcharge.  Vote 5-0 for OCA’s proposal. 
  1. Rate Design and Cost Recovery—RESA’s Proposal for a $0.05/kWh Adder to the Price-To-Compare (Default Service Cost Recovery Charge).  Commissioner Witmer’s Statement is attached.  Vote 5-0 for ALJ’s recommendation. 
  1. EGS Opt-In Competitive Offer Program—Small Commercial Customer Eligibility (with loads up to 25kW).  Vote 5-0 for RESA’s proposal.
  1. EGC Opt-In Competitive Offer Program—Residential Customer Eligibility Shopping v. Non-Shopping.  Vote 5-0 for ALJ’s recommendation.
  1. EGS Opt-In Competitive Offer Program—Composition of Product Offer.  Commissioner Witmer’s Motion is attached, which also affects issues Nos. 26 and 27.  Vote 5-0.
  1. EGS Opt-In Competitive Offer Program—Customer Participation Cap Opt-In Auction Program.  Vote 5-0 for ALJ’s recommendation.
  1. EGS Opt-In Competitive Offer Program—Supplier Participation Load Cap.  Vote 5-0 for ALJ’s recommendation.
  1. EGS Opt-In Competitive Offer Program—PECO’s Proposed Application Process and EGS Terms and Conditions:  Opt-In Program.  Vote 5-0 for RESA’s proposal.
  1. EGS Standard Offer Program—Composition of Product Offer.  Vote 5-0 for ALJ’s recommendation.
  1. EGS Standard Offer Program—Types of Customer Calls Eligible for Presentation of Referral Program.  Vote 5-0 for ALJ’s recommendation.
  1. EGS Standard Offer Program—Commencement Date of the EGS Standard Offer Program.  Vote 5-0 for ALJ’s recommendation.
  1. EGS Standard Offer Program—PECO’s Proposed Application Process and EGS Terms and Conditions:  Standard Offer Program.  Vote 5-0 for RESA’s proposal.
  1. Participation by Low Income Customers in Proposed Retail Market Enhancements.  Commissioner Witmer’s Motion is attached.  Vote 5-0. 
  1. Additional Proposed Retail Market Enhancements—Time-of-Use Offering.  Vote 4-1 for OCA’s proposal.
  1. Additional Proposed Retail Market Enhancements—New/Moving Customer Referral Program.  Vote 5-0 for ALJ’s recommendation.
  1. Additional Proposed Retail Market Enhancements—Referral of PECO Wind Customers.  Vote 5-0 for ALJ’s recommendation.
  1. Recovery of Program Costs for Proposed Retail Market Enhancements (Purchase of Receivables Discount)—EGS Opt-In Competitive Offer Program.  See Commissioner Witmer’s Motion (Issue No. 14).  Vote 5-0.
  1. Recovery of Program Costs for Proposed Retail Market Enhancements (RME)—Other Enhancements.  See Commissioner Witmer’s Motion (Issue No. 14).  Vote 5-0.

OFFICE OF SPECIAL ASSISTANTS

  • Metropolitan Edison Company, 2273650-OSA, P-2011-2273650, P-2011-2273668, P-2011-2273669, P-2011-2273670.  By Order entered 8/16/12, the Commission, inter alia, granted, in part, the Companies’ Joint Petition for approval of their DSP. On 8/31/12, the following six Parties each filed Petitions for clarification, rehearing and/or reconsideration: (1) the Coalition for Affordable Utility Services & Energy Efficiency in PA; (2) the Constellation Energy Commodities Group, Constellation NewEnergy, Exelon Generation, and Exelon Energy; (3) the Companies; (4) the OCA; (5) the OSBA; and (6) the Retail Energy Supply Association. On 9/10/12, five of the Parties filed Answers to the Petitions, including Met-Ed Industrial Users Group, Penelec Industrial Customer Alliance, Penn Power Users Group, West Penn Power Industrial Intervenors, and Washington Gas Energy Services, Inc. RECOMMENDATION:  That the Commission adopt the proposed Opinion and Order that grants, in part, the Petitions.  Chairman Powelson’s and Commissioner Witmer’s Joint Statement is attached.  Vote 5-0. 

LAW BUREAU

  • ACT 129 Energy Efficiency Program Phase 2, 2289411-LAW, M-2012-2289411, M‑2008-2069887The Commission adopted the Energy Efficiency and Conservation Program Phase II Implementation Order on 8/3/12, establishing the standards each electric distribution company’s energy efficiency and conservation plan must meet and providing guidance on the procedures to be followed for submittal, review and approval of all aspects of those plans. On 8/20/12, Met-Ed, Penelec, Penn Power and West Penn Company (collectively, FirstEnergy) filed a Petition for Reconsideration and Clarification. Also, on 8/20/12, PPL Electric Utilities Corp filed a Petition for Reconsideration. On 9/4/12, PECO Energy filed a Motion for Leave to File a Petition for Reconsideration and a Petition for Reconsideration of the Implementation Order.  RECOMMENDATION:  That the Commission adopt the proposed Reconsideration Order.  Vote 5-0.

SUPPLEMENTAL CARRY-IN AGENDA

BUREAU OF TECHNICAL UTILITY SERVICES

  • Leatherstocking Gas Company LLC., 2275595-FUS, A-2011-2275595.  Application filed on 11/23/11, for approval to supply natural gas service to the public in Northern Susquehanna County, in the Townships of Bridgewater, Forest Lake, Great Bend, Harmony, New Milford and Oakland, and in the Boroughs of Great Bend, Hallstead, Lanesboro, Montrose, New Milford, Oakland and Susquehanna.  RECOMMENDATION: That the Commission adopt the proposed Order which approves the application.  Chairman Powelson’s and Commissioner Gardner’s Statements are attached.  Vote 5‑0.

NO ANNOUNCEMENTS

NEXT PUBLIC MEETING IS TENTATIVELY SCHEDULED FOR THURSDAY, OCTOBER 11, 2012 AT 10:00 A.M.

* Denotes Order

 

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