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Utilities Seek Evidentiary Hearings For Adjudication Of Default Service Time-Varying Rates Proposal
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Nstar, National Grid, and Unitil in Massachusetts have requested that the Massachusetts DPU use an evidentiary process, including discovery, testimony, and hearings, to adjudicate proposals for implementation of time-varying default service electric rates
As previously reported by ECM, the DPU opened an inquiry into the design and implementation of time-varying rates (TVR) for default service (aka basic service) in response to a petition from the Massachusetts Department of Energy Resources which proposes the implementation of a default, opt-out time-of-use (TOU) rate for basic electricity service (default service) customers
See background here
The utilities said that, based on the DPU's order initiating the investigation, "the Department ... seems inclined to require an opt-out TVR framework informed by DOER’s proposed rate design".
The utilities said, "This is premature as the conclusion does not take into account any information from the EDCs (or their customers) regarding the impact of DOER's proposed framework on their customers, nor does it take into account what customers actually want."
The utilities said, "The EDCs have determined that a full adjudicatory proceeding is necessary to ensure that customers’ voices are heard, their concerns are addressed and their questions answered."
The utilities said, "As the EDCs have demonstrated in their various proceedings before the Department, customer satisfaction is of paramount importance, on par with ensuring that customers will not be negatively impacted by proposals that relate to their electric service ... [Customers] are the people, businesses and institutions that will be impacted by the decisions made in this proceeding. Despite this, there appears to have been limited (or no) attempts to solicit their input at this critical juncture in the Commonwealth’s energy transition."
The utilities cited the, "diversity of EDCs' broad customer bases, which include customers with different circumstances, energy needs, usage patterns, and ability to respond to price signals."
"Customers are not a homogeneous group, and different customer segments may experience and interact with the TVR framework differently, including with respect to affordability, bill impacts, operational flexibility, customer understanding, and potential benefits. For that reason, it is important that the Department develop a more complete and representative record regarding customer perspectives and likely customer impacts before making decisions that could affect millions across the Commonwealth," the EDCs said
The utilities said, "each of the Companies has conducted preliminary customer research regarding customers’ thoughts on and reactions to TVR, including TVR based on an opt-out framework, the savings they expect to see under TVR, etc. This information is critical to properly aligning the Commonwealth’s design and roll-out of TVR in a manner that avoids customer confusion and harm, and addresses affordability concerns all while still advancing the energy transition in a meaningful and deliberate way."
Noting that the DPU has stated an intent to conduct the TVR investigation "expeditiously," the utilities noted that an evidentiary process would include more procedural steps, but also noted that, "given the current timeline for deployment of advanced metering infrastructure to all customers, TVR likely cannot be implemented until early 2028 at the earliest."
"Accordingly, use of an adjudicatory process should not materially delay the actual launch or availability of TVR to customers," the EDCs said
Separately, the EDCs also sought more time to propose Marketing, Education and Outreach (MEO) plans concerning a transition to TVRs.
The DPU had directed that the MEOs build upon separate MEO directives in a case concerning energy affordability and low-income customer rate program eligibility, with the EDCs citing the timeline in such other case as supporting the need for an extension
Furthermore, the EDCs noted that a TVR design has not been established yet, and that, while DOER has made a proposal, the DPU could elect materially different forms of TVR (or additional opt-in options), such as critical peak pricing, with the development of MEOs challenged absent certainty on the ultimate TVR adopted
The EDCs asked that the deadline for TVR MEOs be extended to December 15, 2026 from the current deadline of September 30, 2026
Prior to the EDCs' request for an evidentiary process, a DPU hearing officer "reserved" October 21, 2026 for a technical conference in the DPU TVR investigation, with October 22, 2026 also reserved if needed
Docket 26-62
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September 11, 2026
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Copyright 2026 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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