New York Utilities Receive Extension For Ordering Clause Of Retail Market Reset Order

February 12, 2021

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Copyright 2010-21 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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Updated, 2/12/21:

The Secretary of the New York PSC granted an extension until April 16, 2021 for the Joint Utilities to file tariff revisions in accordance with and as required by Ordering Clause 7 of the retail market reset Rehearing Order, as further described in the utilities' request as reported in our original story below.

Earlier (2/10/21):

The joint New York utilities requested from the New York PSC an extension of time to file amendments to the Uniform Business Practices ('UBP') in connection with ordering clause 7 of the New York Public Service Commission’s ('Commission’s') September 18, 2020 Order on Rehearing, Reconsideration, and Providing Clarification ('Rehearing Order') in the retail market reset proceeding

As first reported by EnergyChoiceMatters.com, the PSC recently granted an extension (until April 16, 2021) for ESCO compliance with Ordering Clauses 3, 4, and 5 of the rehearing order. Such ordering clauses, reproduced in full below, impose the previously reported new mass market product and pricing limits for ESCOs, and require compliance with related UBP changes

In their extension request, the utilities noted that Ordering Clause 7 provides that, "Electric and gas distribution utilities that have tariffed provisions providing for retail access are directed to file tariff amendments or addenda to incorporate or reflect in their tariffs the Uniform Business Practices revisions approved in Ordering Clause No. 5. The tariff revisions shall be filed, on not less than one day’s notice, to become effective on or before February 12, 2021. "

The utilities noted that, "the Secretary grant[ed] an extension of 60 days to comply with the requirements of ordering clauses 3, 4, and 5 of the Rehearing Order. Ordering clause 5 of the Rehearing Order directs Energy Service Companies ('ESCOs') to comply with new UBP, effective April 16, 2021. However, ordering clause 7 of the Rehearing Order, references ordering clause 5 and currently directs the Joint Utilities to file the UBP to become effective on one day’s notice on or before February 12, 2021."

"In order to more closely align the date the Joint Utilities are required to file the new UBPs in their respective tariffs (currently February 12, 2021) with the date the new UBP becomes applicable to ESCOs (i.e., April 16, 2021), the Joint Utilities respectively request that the Secretary extend the date to comply with ordering clause 7 of the Rehearing Order until April 16, 2021. As revised, the Joint Utilities would be required to file tariff revisions amending the UBP on not less than one day’s notice, to become effective on or before April 16, 2021," the utilities said

Ordering Clauses 3, 4, and 5 of the Rehearing Order were as follows:

3. Effective 150 calendar days from the date of this Order [e.g. Feb. 15, 2021], energy service companies (ESCOs) shall enroll new residential or small non-residential customers (mass-market customers) or renew existing mass-market customer contracts for gas and/or electric service only if at least one of the following conditions is met:

(A) enrollment includes a guaranteed savings over the utility price, as reconciled on an annual basis;

(B) enrollment is for a fixed-rate commodity product that is priced at no more than 5% greater than the trailing 12-month average utility supply rate; or

(C) enrollment is for a renewably sourced electric commodity product that

(i) has a renewable mix that is at least 50% greater than the ESCO’s current Renewable Energy Standard (RES) obligation as demonstrated by the procurement of Renewable Energy Credits (RECs) and/or the making of Alternative Compliance Payments (ACPs) equal to the number of megawatt hours (MWH) associated with that renewable mix,

(ii) the ESCO complies with the RES locational and delivery requirements when procuring RECs, and

(iii) there is transparency of information and disclosures provided to the customer with respect to pricing and commodity sourcing.

(D) enrollment is for a product or service otherwise expressly authorized by the Commission.

4. Effective 150 calendar days from the date of this Order, any mass-market customer contract for a fixed-rate commodity service that is subject to automatic renewal shall be renewed by the ESCO only as a contract for variable-rate, commodity-only service that includes a guaranteed savings over the utility price, unless the ESCO obtains affirmative customer consent to renew the contract as a fixed-rate contract that is priced at no more than 5% greater than the trailing 12-month average utility supply rate.

5. Revisions to Sections 1, 2, and 5 of the Uniform Business Practices are adopted in accordance with the discussion of the body of this Order, as well as the discussion in the body of the Order Adopting Changes to the Retail Access Energy Market and Establishing Further Process, issued December 12, 2019, in these proceedings (December 2019 Order). The revisions shall be effective 150 days following the date this Order is issued.

Case 15-M-0127 et al.

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