Energy Choice
                            

Matters

Archive

Daily Email

Events

 

 

 

About/Contact

Search

Pennsylvania PUC To Hold Technical Conference On Natural Gas Retail Supplier Issues

February 26, 2018

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

The Pennsylvania Public Utility Commission (PUC) will be hosting a Natural Gas Technical Conference on Thursday, March 29, 2018, intended for Natural Gas Suppliers (NGSs) and Natural Gas Distribution Companies (NGDCs) and any parties interested in the proceedings at Docket Nos. L-2016-2577413 (accelerated switching) and L-2017-2619223 (capacity, imbalance rules, operational issues).

On December 22, 2016, the Commission adopted an Advance Notice of Proposed Rulemaking Order (ANOPR) to amend Chapter 59 regulations for changing a customer’s NGS. The proposed regulatory changes are intended to accelerate the NGS switching process while preserving safeguards to prevent the unauthorized switching of a customer’s account (see details here)

Furthermore, on August 31, 2017, the Commission adopted an ANOPR to explore NGDC business practices with the intent to improve the competitive natural gas market by revising how capacity is assigned, as well as addressing penalties and imbalance trading (see story here).

The PUC requested that technical conference attendees RSVP (see RSVP details in secretarial notice).

The PUC issued a discussion document that is intended to highlight the key topic areas that Commission Staff would like to explore and discuss, as follows:

Accelerating NGS Switching

1. Gas Nomination Process/wholesale market FERC rules. Procedures that place NGDCs in the middle of transactions between NGSs potentially violate FERC “shipper must have title” rules?

2. Impact on demand curves, capacity assignment, pricing, etc. Need for daily changes?

3. The use of estimated and customer-supplied meter reads.

4. Different standards/timeframes for different NGDCs? Different rate classes?

5. To what extent are technical concerns alleviated if limitations are imposed (i.e. one switch per billing cycle)?

Capacity Assignment

1. PTC impacts/presentation.

2. Experience in other states (New York, Virginia).

3. Does this shift competition (i.e., removes capacity from competition)?

4. Suppliers benefiting from capacity they didn’t pay for/double dipping if the NGDC sells capacity?

5. Auditing issue – PGC/GCR true-up problems.

6. Potential FERC problems – must pay for capacity.

Virtual Access

1. "Slice of the pie" concept:

    a. How to handle the limitations or are NGDC’s workarounds good enough?

    b. Capacity should be able to serve the customer it’s released for.

2. Virtualization is a “step backwards”?

3. Virtualization reduces the value of the asset?

Daily Imbalance Trading

1. What technological features are needed to make this work like an electronic bulletin board?

2. Is upstream trading sufficient or do we need some on the NGDC system?

3. Is lack of communication the bigger issue here?

4. Introduces a reliability risk rather than a benefit?

5. Impact to interruptible customers and other rate classes.

Penalties – During non-emergency conditions

1. Market based versus flat fee.

    a. At what fee level and does there have to be a minimum level?

    b. Should there be safe harbors when it benefits the system?

    c. Tier approach based upon?

2. Can it be pegged to a local hub for each NGDC? Multiple hubs for different areas, etc? Some NGDCs have widely scattered service territories.

3. Interruptible constraints and problems.

4. Impact of tolerance bands within a penalty structure.

ADVERTISEMENT
NEW Jobs on RetailEnergyJobs.com:
NEW! -- Sales and Channel Partner Manager -- Retail Supplier
NEW! -- Sr. Energy Analyst -- Broker -- DFW
NEW! -- Energy Broker
NEW! -- Account Manager, Retail Energy -- DFW
NEW! -- Commercial Energy Advisor
NEW! -- Operations Manager -- Retail Supplier
NEW! -- Business Development Manager - Texas, Retail Provider
NEW! -- Business Development Manager - Northeastern US, Retail Supplier
NEW! -- Senior or Principal Quantitative Research Analyst, Energy Commodity/Risk
NEW! -- Operations Manager -- Retail Supplier
NEW! -- Business Development Manager -- Retail Supplier -- Philadelphia

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