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December 24, 2010

West Penn Power Extends Date for POR, Coordination Tariff
West Penn Power (Allegheny) has extended the effective date of its proposed new Electric Generation Supplier Coordination Tariff, which includes a new Purchase of Receivables program, from January 1, 2011 to January 31, 2011 (R-2010-2207938, 11/4).  The Retail Energy Supply Association has contested several aspects of the tariff, including a $6 per bill charge for utility consolidated billing (12/1).

DPUC Directs Sempra Energy Solutions to Answer Interrogatories on Change in Control
The Connecticut DPUC has directed Sempra Energy Solutions (SES), now Noble Americas Energy Solutions, to address two interrogatories regarding its change in control.  Specifically, the DPUC directed Sempra Energy Solutions to respond to the following:

• Reference General Statutes of Connecticut (Conn. Gen. Stat.) § 16-245(j).  Conn. Gen. Stat. §16-245(j) states that no electric supplier license may be transferred without the prior approval of the Department.  Explain whether SES believes the proposed change of control and name change to Noble Americas Energy Solutions LLC (Noble) constitutes a transfer of license.  If yes, does SES or Noble object to the Department opening a new docket and issuing Noble an Electric Supplier License separate from the one issued to SES?  If no, explain.
• Reference the SES letter dated September 27, 2010 that indicates 100% of SES ownership will be sold to Noble Group Limited.  Complete and submit a revised Electric Supplier application that identifies all changes as a result of the change of control.  

PUCT Suspends NPRR 269 Consistent with Earlier Order
The PUCT, in Docket 38981, has suspended Nodal Protocol Revision Request (NPRR) 269, the nodal version of a prior PRR relating to wind generation reactive power requirements, consistent with the earlier suspension of PRR 830 pursuant to Order No. 6 in Docket No. 37817 (1/20/10).  In Docket 38981, wind generators have filed a new complaint against NPRR 269 substantially mirroring their pending complaint against the original zonal PRR.

EPA Sets Schedule for GHG Limits on Power Plants
The U.S. Environmental Protection Agency announced on Thursday, no doubt timed to avoid Americans' attention during the holiday rush, its intention to regulate "greenhouse gas" emissions from existing power plants, with proposed standards to be issued in July 2011 with final rules in May 2012.  Aside from the absurdity of issuing the announcement as parts of the Southeast brace for their first white Christmas in over 100 years, the futility of imposing standards on domestic businesses when any progress can be eradicated by developing nations not following any standards, and the hypocrisy of an administration which will limit greenhouse gases of job-producing industry but sends fuel-guzzling and GHG-emitting jetliners on consecutive back to back cross country trips because the first family can't "carpool" (or plane-pool) for vacation, the bottom line is that any GHG limits will "necessarily," in the President's own words, raise retail electric prices.  Aside from rates which will "skyrocket," which will no doubt be blamed on "deregulation" and prompt calls for rate mitigation, the GHG limits have the potential to force the retirement of thousands of megawatts of generation, and given the lack of new build in most eastern RTOs with capacity markets, only further fuel legislative and regulatory desires for non-market interventions that will distort the retail market, such as long-term, ratepayer-backed default service contracts supporting new, low GHG emitting, resources.  Separately, the EPA also usurped Texas' authority to conduct GHG air permitting for power plants, despite Texas' success in getting new generation built, keeping rates low, and creating an environment more attractive to Americans than any other state based on recently published census growth data.

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