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Implementation of Utility Billing Of Non-Commodity Retail Supplier Charges Dropped Under Revised Default Service Stipulation

March 14, 2017

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

A revised stipulation, which now includes PUCO Staff as a signatory, governing Dayton Power & Light's electric security plan would revise certain pilot retail market enhancements which would have been required under an earlier stipulation.

Notably, under an earlier stipulation DP&L committed to implement within 12 months a pilot process to provide any competitive retail electric service (CRES) provider that is interested and qualified the opportunity to bill customers for non-commodity products and/or services on the customer's DP&L bill using bill-ready billing (see prior story for more details)

Under the new stipulation signed by PUCO Staff, implementation of utility billing for non-commodity supplier charges will be subject to a PUCO proceeding, and DP&L must make an application before PUCO to implement any such program

Specifically, no later than sixty days after a Commission order approving the stipulation, Staff will request that the Commission conduct a rule review to establish parameters for non-commodity billing in all electric distribution utility service territories. DP&L agrees to provide for a non-commodity billing on a customer's utility bills after the Commission has evaluated and approved billing requirements for non-commodity billing in a rule review process or another proceeding. DP&L will be permitted to seek cost recovery associated with providing non-commodity billing in part from CRES providers utilizing non-commodity billing and other third parties and ratepayers equally in another proceeding.

DP&L shall submit an application to the Commission to establish non-commodity billing and parameters and to establish any terms for cost recovery by DP&L no later than eighteen months after the date a Commission order is issued approving the stipulation

The new stipulation does preserve a supplier consolidated billing pilot generally as proposed in the earlier stipulation (see prior story for more details), with several modifications

First, the supplier consolidated billing pilot is now capped at 60,000 customers absent approval for an increase from PUCO Staff and DP&L.

However, while the prior stipulation included a per-CRES cap of 10,000 customers for the pilot, which the new stipulation retains, the new stipulation allows individual CRESs to increase their supplier consolidated billing customers above 10,000 with Staff and DP&L approval, if the 60,000 cap has not been met

Additionally, while costs of supplier consolidated billing implementation will be split 50-50 between DP&L and participation suppliers, DP&L will provide a credit of $150,000.00 toward the CRES provider portion of these costs.

Such credit shall be funded by DP&L through shareholder dollars and be implemented through a onetime payment to RESA which will then allocate that payment at its discretion. DP&L shall submit such payment to RESA within thirty (30) days after DP&L provides an estimate of the total implementation costs to interested CRES providers. CRES providers that enter the program after its implementation must agree to reimburse other participating CRES providers on a pro-rata basis to ensure a fair allocation of the implementation costs to be shared by participating CRES providers.

The new stipulation generally retains the parameters for a "small-scale" pilot program providing an alternative means for customers to obtain and pay for services otherwise provided by or through the nonbypassable non-market-based transmission charge (TCRR-N).

See prior story for more details on the TCRR-N pilot

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