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Illinois Lacks Authority to Regulate PEV Charging Service Providers as Utilities,
Suppliers, BlueStar Says
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January 25, 2011
Under existing laws, the Illinois Commerce Commission, "does not have jurisdiction[] to broadly regulate electric vehicle charging service or providers as public utilities," BlueStar Energy Services said in comments to the ICC.
"[I]t is unlikely that the Commission has authority over consumers, PEV manufacturers, owners and operators of charging equipment (for public or private use) because these entities are not engaged in the production, transmission, or distribution of power," BlueStar argued.
"The regulation of PEV charging infrastructure for the general use, whether for public or private use, revolves around the question of whether PEV charging services is regulated as a public utility, RES [retail electric supplier], or a competitive service. This analysis largely depends on whether such services are considered merely a sale of energy or is a broader service as to which energy is but one input," BlueStar said
"'Public utility' is defined in 220 ILCS 5/3-
"Given these definitions, it is important to note the Commission has not traditionally regulated entities involved in the transference of energy that is used by the customers' appliances or technology applications. As a starting point, PEVs appear to fall into the same category as other customer appliances or applications, which are tied to the consumer's use of energy," BlueStar added.
"Although it is possible public charging station operators may be considered public
utilities if the definition is read broadly, a rigorous analysis as well as numerous
exceptions to that definition would not likely support such an interpretation. BlueStar
agrees that a charging station is similar to a laundromat, a gas station or propane
distributor -
"On the other hand, the 1997 Restructuring Law defines a competitive service as a
service that ‘includes (i) any service that has been declared to be competitive pursuant
to Section 16-
"Given that electricity is only an input into the charging service that is provided, it most likely falls into the definition of a competitive service rather than a sale of energy. 'Charging service' includes both the provision of charging to the PEV, as well as the charging infrastructure itself. Moreover, charging service also does not include the provision, or metering, of electric service to the charging station," BlueStar said.
"Perhaps the more complex legal analysis deals with instances in which electric vehicle charging services are offered to the public. Although the Commission regulates public utilities, the emergence of electric vehicle charging service provided to the public does not automatically extend its authority over these new entities or services. Under the Illinois Constitution, only the legislature can confer new powers on the Commission. The legislature only granted limited, if any, authority to the Commission to set rules related to electric charging providers or stations. BlueStar finds nothing in the law that directs the commission to explicitly or implicitly to regulate electric vehicle charging service providers. Under existing laws, BlueStar believes the Commission does not have jurisdictions to broadly regulate electric vehicle charging service or providers as public utilities," BlueStar concluded.
BlueStar said that the ICC has regulatory authority that it can apply to ensure electric vehicle charging infrastructure is properly integrated into the electric grid, without the specific need to regulate charging stations.
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