Another Retail Supplier Details Costs Being Passed-Through Under Regulatory Change Clause
December 17, 2018 Email This Story Copyright 2010-17 EnergyChoiceMatters.com
Reporting by Paul Ring • firstname.lastname@example.org
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Agera Energy, LLC, in replying to an inquiry from the Connecticut PURA, has provided more details concerning the specific costs which are being passed-through to certain non-residential customers under a regulatory change clause
As exclusively reported by EnergyChoiceMatters.com, PURA had directed Agera to provide information in response to a complaint from a non-residential customer alleging that Agera Energy had informed the complainant that Agera will be exercising a regulatory change clause in its contract to pass-through certain ISO New England costs
In a December 14 reply to PURA, Agera identified with specificity the costs prompting the exercise of the regulatory change clause
Agera in its reply to PURA stated that, "Pursuant to Connecticut General Statutes section 16-245o, electric suppliers are permitted to include in customer contracts 'circumstances under which the rates may change.' Agera’s contract includes a provision that permits it to modify the price under the contract in the event of a Regulatory Change. Regulatory Change is defined as: 'a change in any law, rule, regulation, tariff, or regulatory structure.'"
Agera in its reply to PURA stated that, "As noted in the Notice, there was a Regulatory Change in the ISO New England ('ISO-NE') service territory. Specifically, ISO-NE made numerous structural changes, as reflected in its tariff, for the June 1, 2018-May 31, 2019 capacity period. First, ISO-NE used a system-wide sloped demand curve for the first time. Second, it made changes to the Capacity Zones. Third, it implemented the Pay-for-Performance program. Lastly, it ended the Transitional Demand Response Program. These changes constitute a 'Regulatory Change' under the terms of Agera’s contracts with its customers. Thus, consistent with the terms of those contracts, Agera provided customers notice that a Regulatory Change had occurred and that, as a result, Agera would be passing through the additional cost associated with the change."
Agera in its reply to PURA stated that it will be passing through the costs associated with the regulatory change described above to 672 Connecticut non-residential customers