PSC Moves To Prohibit Municipal Aggregation From Charging Variable Rates

July 24, 2023

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Copyright 2010-23 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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During a further Maryland PSC rulemaking session concerning creating rules for the community choice aggregation (CCA) pilot, the PSC appeared prepared to adopt a specific regulation prohibiting a CCA from charging variable rates

A formal vote was not taken on any language, and the stakeholders will return to the PSC with specific language for consideration

Statute authorizes Montgomery County to conduct a CCA pilot

During the rulemaking sessions, representatives from Montgomery County said that the County was not planning to use variable rates, and generally said that it had no objection to placing such a prohibition on variable rates in the CCA regulations

Commissioner Anthony O’Donnell had sought the variable rate prohibition

The PSC declined to revise its prior direction (though not yet formally adopted) that the CCA, and its supplier, will be able to serve energy assistance (low-income) customers without being required to price its service to energy assistance customers at or below the SOS rate. In contrast, retail suppliers are now only allowed to serve energy assistance customers with a rate at or below SOS, and only when approved by the PSC

The PSC also won't require the CCA to use the retail supplier contract summary form, though much of the same information will be provided to customers through other mechanisms (such as the opt-out notice)

The PSC did not complete the rule review at its session today and will schedule a further session prior to adoption of final rules

RM80

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