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Final Wisconsin Strategic Energy Assessment Devoid Of Discussion Of Customer Choice

August 9, 2018

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

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A final biennial Strategic Energy Assessment released by the Public Service Commission of Wisconsin for 2018-2024 did not contain a substantive discussion of retail electric customer choice.

The Strategic Energy Assessment, developed every two years assesses Wisconsin's energy demands, how those demands will be met, and the reliability of the electrical system in the upcoming years.

The Energy Professionals Association (TEPA), jointly with the Retail Energy Supply Association (RESA), has submitted comments on a draft Strategic Energy Assessment encouraging the PSC to consider customer choice (see more on the TEPA and RESA comments here)

The only discussion of customer choice in the final Strategic Energy Assessment is a note recording the filing of the TEPA/RESA comments and noting that the PSC previously evaluated retail choice in Docket 05-EI-114.

The Strategic Energy Assessment did note certain "innovative" rate structures offered by the utilities. This includes the New Load Market Pricing (NLMP) rate, under which two investor-owned utilities offer a NLMP tariff to their large commercial and industrial customers.

These tariffs are intended to attract new load by allowing customers to pay wholesale market rates for any new load. NLMP customers are charged incremental energy and demand rates on eligible load growth above baseline levels of consumption and normal tariffed rates on consumption up to the baseline levels. In 2017, the Commission approved new market rate offerings for WP&L and WEPCO. These programs allow industrial customers to pay wholesale market rates for some or all of their power needs. Wisconsin state law allows these rates, and contains protections so that no other customers subsidize the discounted rates, the Strategic Energy Assessment stated

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