EnergyChoiceMatters.com

State Proposes To Terminate REC Add-On Product For Default Service Customers, Will Review Renewable Disclosures, Practices For Retail Suppliers

December 5, 2016

Email This Story
Copyright 2010-16 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

The Connecticut PURA in a draft decision has proposed to terminate the Connecticut Clean Energy Options Program, effective December 31, 2016.

The Clean Energy Options Program is a REC add-on program marketed to default service customers, in which REC suppliers do not serve the customer's load and customers remain on default service.

The draft order would allow the current Clean Energy Options suppliers to maintain their existing customers under the current contract terms and conditions for a period of six months after the cessation of the program, while the transition in the competitive electric supplier market progresses to include renewable energy certificate based clean energy product offerings.

"Recognizing the value of providing convenient clean renewable options for ratepayers, the Authority will explore alternatives of voluntary renewable services in other contexts that continue to support local renewable generation sources throughout Connecticut," the draft states

The draft notes that the Clean Energy Options was originally required when there was limited alternatives for customers to choose a green option, but observed that, "Connecticut now has numerous options and choices beyond the CCEO Program for customers to actively support clean energy resources or to choose renewable options that exceed the state-mandated RPS."

"Presently, many of the competitive suppliers are also offering a sundry of voluntary green products above and beyond the state-mandated RPS requirements. Depending on the resource type, percentage and/or geographic location, a ratepayer can choose from a countless array of voluntary green offerings," the draft states

"Although there was a great deal of interest at the onset of the program and a peak in growth during the third contract period with the addition of a new supplier, there has not been any significant growth in the CCEO Program in the last three years. The Authority concurs with the EDCs that the CCEO Program does not exhibit signs normally associated with growth or expanding interest and has remained static. Part of the initial success of the CCEO Program was due to having a convenient mechanism for ratepayers to purchase clean energy options while maintaining electric service with the EDCs. However, it appears with the significant growth in the number of licensed competitive suppliers in Connecticut, approximately 40% of residential and roughly 60% of C&I customers enrolled in the CCEO Program are no longer maintaining electric service with the EDCs and are with a competitive supplier. The Authority finds that the participation levels do not justify either additional support to promote interest or expansion of the CCEO Program," the draft states

The draft also states that PURA will be examining various requirements and disclosures for retail suppliers' green offerings

"The Authority proceeds to examine the option of requiring all electricity suppliers with renewable energy product options listed on the EnergizeCT site, to define the product source by renewable technology type, geographic location and price using established definitions to bring more candidness to the renewable energy market. To provide greater transparency, the Authority notes that it is currently working closely with competitive suppliers through working group meetings by exploring options of implementing similar standards instituted with the CCEO suppliers in disclosing voluntary renewable products to ratepayers. Due to the growing number of competitve [sic] suppliers that are offering voluntary green products, the Authority is also reviewing compliance with voluntary green offers in separate proceedings with the objective of establishing a clear oversight into the disclosure of the various renewable options that were provided by competitive suppliers. As mentioned, the Authority also opened a new docket to develop rules and disclosure forms for voluntary green products," the draft states

That draft would require that, prior to December 31, 2016, CCEO suppliers, including former CCEO supplier Sterling Planet, provide written notification to each enrolled customer that the CCEO Program is being terminated, but that the CCEO supplier may continue to supply REC-based products for a period of six months while the competitive supplier market transitions to incorporate similar REC-based offerings. In addition, each CCEO supplier shall update their respective websites that clearly displays the cessation of the CCEO Program and communicate the conversion period in the competitive supplier market, the draft provides

Docket 10-05-07RE01

Email This Story

HOME

Copyright 2010-16 Energy Choice Matters. If you wish to share this story, please email or post the website link; unauthorized copying, retransmission, or republication prohibited.

Archive

Daily Email

Events

About/Contact

Search