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Texas ALJ Finds Company Acted As Aggregator Without Certificate

February 7, 2017

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Copyright 2010-17 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

A Texas Administrative Law Judge issued an interim order granting a partial summary decision which concludes that Current Utilities, Inc., "served as an aggregator and provided aggregation services without first registering as an aggregator."

As previously reported, PUC Staff had filed a Notice of Violation against Current Utilities, alleging that Current Utilities meets the definition of aggregator and operated as such without a certificate. Current Utilities argued that it does not combine customers into a "single purchasing unit", and only arranges for customers to purchase electricity as individual customers, and is therefore not an aggregator.

The dispute only involves a question of law regarding how to properly interpret the phrase, "single purchasing unit," as used in the definition of an aggregator, and both parties sought summary disposition

The ALJ had previously ruled on the interpretation of the phrase "single purchasing unit," and on what behavior constitutes aggregation (see discussion here), but found the evidentiary record was lacking as to the specific behavior in which Current Utilities had been engaged, and had ordered further briefing.

Click here for Staff's subsequent brief on the actions it alleged constituted joining customers into a single purchasing unit

"Having considered all of the pleadings related to summary disposition, along with the attached evidence, the ALJ concludes that the evidence indisputably establishes that Current served as an aggregator and provided aggregation services without first registering as an aggregator," the ALJ said

"Specifically, the ALJ finds that Current joined 'two or more electricity customers into a purchasing unit to negotiate the purchase of electricity by the electricity customer as part of a voluntary association of electricity customers,' which constituted aggregation under PURA and the Commission's rules," the ALJ said

"By engaging in conduct constituting aggregation, Current was required to register as an aggregator, but did not," the ALJ said

The ALJ granted PUCT Staff's request for summary decision with regard to whether Current Utilities acted as an aggregator and whether Current Utilities, Inc. violated PURA § 39.353(a) and 16 TAC § 25.111(d)(1) by providing aggregation services without first registering with the Commission as an aggregator

The ALJ said that the issue of whether Current Utilities should be subject to an administrative penalty shall be set for hearing

Docket 45621

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