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PUC Approves Credits For Default Service Customers From Reconciliation Of Prior ISO Charge Adder
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The Maine PUC has approved a crediting to various Standard Offer electricity customer classes to reflect a reconciliation of prior adders related to an ISO New England fuel security charge, while also setting the Standard Offer uncollectible adders for 2026
In 2022 and 2023, the PUC approved bids for the 2023 and 2024 standard offer terms that included a pass-through of certain out of market charges related to fuel security initiatives assessed by ISO-NE on wholesale standard offer suppliers in their capacity as LSEs. While such costs were a pass-through, the PUC approved a fixed adder to the retail standard offer rates charged to residential, small commercial, and medium commercial customers in order to collect the ISO-NE charges. Actual costs from ISO-NE were to be reconciled with the amounts collected under the adders
As a result of ISO-NE billing, final 2024 pass-through amounts were not known until 2025. After conducting the reconciliations, the investor-owned utilities proposed credits to standard offer customers, through various mechanisms, as a result of over-collecting under the adders versus actual ISO-NE costs
At Central Maine Power, with respect to the residential and small commercial class, the PUC approved CMP's proposal to credit the applicable standard offer uncollectible adder retainage account by the remaining over-collection balance equal to $1,585,455.
This credit will reduce the proposed CMP residential and small commercial customer Standard Offer Uncollectable Adder from 0.45% to 0.10% for the 2026 standard offer term.
The Standard Offer Uncollectable Adders are part of the bypassable Standard Offer default service rate, and essentially work as a purchase of receivables program, with discount, for the wholesale Standard Offer suppliers. For example, if the uncollectible adder is 2% and the standard offer price is $0.10/kWh, the standard offer supplier would be paid $0.098 (98% of 10 cents) for each kWh billed under standard offer service
At CMP, with respect to the medium commercial class, the PUC approved CMP's proposal to credit the applicable retainage account by the remaining over-collected balance equal to $908,653.
For the CMP medium class, instead of reducing the uncollectible adder, CMP will reduce the 2026 retail standard offer rate by $0.00170/kWh. This method will avoid creating a negative uncollectible adder, the PUC said
Versant, for the Bangor-Hydro district, will credit both the residential & small commercial, and the medium commercial, retainage accounts by the over-collected balances equal to $104,371.48 and $113,918.12, respectively.
The PUC approved 2026 Standard Offer Uncollectible Adders at CMP as follows:
The PUC previously approved 2026 Standard Offer Uncollectible Adders at Versant as follows, which the PUC affirmed in addressing the ISO-NE charge reconciliations
Docket No. 2025-00157
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Approves New Uncollectible Adders
September 26, 2025
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Copyright 2025 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
CMP 2026
Standard Offer Uncollectable Adders
Residential & Small Commercial^ 0.10%
Medium Commercial 0.00%
Large Commercial 0.00%
^ This reflects a calculated uncollectible
adder equal to 0.45% that is reduced 0.35%
due to the reconciliation discussed above
Versant 2026
Standard Offer Uncollectable Adders
BHD
Residential/small non-residential: 3.43%
Medium non-residential: 2.31%
Large non-residential: 0.00%
MPD
Residential/small non-residential: 3.20%
Medium non-residential: 0.00%
Large non-residential: 0.00%
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