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PUC Directs Utility To Examine Continued Need For Purchase Of Receivables Program, Other POR Changes
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The Public Utilities Commission of Ohio has clarified that, in a recent rate case order, the Commission had directed Enbridge Gas Ohio (East Ohio Gas, or EOG, and f/k/a Dominion East Ohio) to consider changes to the purchase of receivables (POR) program so that ratepayers are protected from retail supplier collection and other costs.
PUCO additionally clarified that PUCO had also directed EOG to examine the continued need for a POR program if EOG exits the retail merchant function
The Enbridge/DEO POR program has not had any discount for approximately 20 years.
As previously reported, during the rate case, Staff had originally, "recommend[ed] a discount rate be applied to competitive suppliers to offset," uncollectible and other costs of EOG's purchase of receivables program. Staff later said that such POR recommendations should not be resolved in the rate case itself, but that a separate proceeding review POR
As first reported by EnergyChoiceMatters.com (details here), PUCO in the prior rate case order had stated that PUCO was adopting the PUCO Staff's recommendations regarding "service quality". However, due to differences in wording (a Staff recommendation instead included a section on "service monitoring and enforcement"), as well as varying pagination references, it was unclear to ECM how PUCO disposed of various recommendations related to POR proposed by Staff. Retail suppliers and EOG said in PUCO filings that PUCO's order should be clarified
In a rehearing order, PUCO clarified that PUCO in the earlier rate case order had adopted the following Staff recommendations:
• That, under POR, competitive retail suppliers contribute to
their collection costs or limit the cost to ratepayers
• That EOG consider applying a discount
rate to competitive suppliers to offset these costs
• That EOG explore other options such as
limiting the purchase of receivables to the SCO rate to protect ratepayers
• That EOG
examine the continued need for a purchase of receivables program if EOG exits the retail merchant function
PUCO further clarified that, "although Staff recommends
that EOG consider modification to the purchase of receivables program, any proposed
modifications will necessarily be addressed in a separate proceeding," in which stakeholders will have a, "full and fair opportunity to participate."
PUCO clarified that it also adopted additional Staff recommendations implicating uncollectibles and thus POR. Specifically, PUCO also adopted the following Staff recommendations:
• That EOG
review its process for disconnection to ensure that larger balances do not unnecessarily
accrue
• That EOG eliminate compounding late fees
PUCO also clarified that the Commission adopted Staff’s recommendation that EOG improve its
explanation of its Standard Choice Offer (SCO) tariff to customers who inquire
PUCO denied rehearing on a separate issue raised by retail suppliers, concerning PUCO's decision that EOG should annually educate vacillating customers (whose usage hovers around the threshold for large vs. non-large service classification) about the availability of alternative tariffs, including the availability, if the customer drops below the threshold, of the default Standard Choice Offer.
As more fully discussed in our prior story, retail suppliers, at a minimum, had sought what suppliers' view as improvements in the educational materials. Retail suppliers had also sought a collaborative to participate in the development of the materials.
PUCO denied rehearing of PUCO's earlier decision not to require that a collaborative be used to develop such materials
PUCO reiterated that a PUCO Staff review of the materials is sufficient
"[W]e find that Staff is fully capable of making clear that the
customer notifications relate to distribution rather than commodity service and ensuring
that these materials are competitively neutral," PUCO said
Case 23-0897-GA-ATA (23-897-GA-ATA) et al.
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August 20, 2025
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Copyright 2025 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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