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In Settlement, Major Parties Agree To POR Workshop Process To Study Requiring Retail Suppliers To "Contribute" To Suppliers' Collection Costs, Or Limit POR Costs

Workshop Would Examine Discount To Purchase Of Receivables Program, In Active Choice Market, That Has Historically Had No Discount


September 15, 2026

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Copyright 2026 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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Major parties to an East Ohio Gas Company (d/b/a Enbridge Gas Ohio, and hereafter Enbridge, EOG, or the Company) natural gas rate case pending at the PUC of Ohio have agreed to a workshop process to examine various issues concerning uncollectibles at Enbridge, including potentially requiring retail suppliers to pay collection costs and/or adding a discount to the Enbridge purchase of receivables (POR) program

Parties signing the stipulation include Enbridge, PUCO Staff, the Ohio Energy Leadership Council, Ohio Energy Group, the Retail Energy Supply Association (RESA), and Interstate Gas Supply. The Ohio Consumers' Counsel does not appear as a signatory to the settlement

As first reported by EnergyChoiceMatters.com, PUCO Staff had in the current Enbridge rate case again proposed that EOG should impose a cap or other limit on purchased receivables in EOG's purchase of receivables program, or alternatively should "wind down" the POR program

See background on Staff's recommendation here

EOG did not propose any changes to the POR program in its rate case. EOG's POR program has had a 0% discount rate for approximately 20 years

In an earlier Staff report in the current rate case, Staff had said, "Staff believes that ratepayers should no longer be accountable for competitive suppliers’ collection costs and that the Company should wind down its purchase of receivable program or open an application to review the program".

The settlement would establish a workshop process, which shall have at least 6 meetings over 6 months, to address uncollectibles, POR, and related issues, including specifically those issues which PUCO had previously directed EOG to consider (with such direction having been included in a rate case order issued in 2025)

Notably, PUCO in the 2025 order had directed that Enbridge consider requiring that, "competitive suppliers contribute to their collection costs or limit the cost to ratepayers".

PUCO in the 2025 order had also directed that Enbridge consider applying a discount rate to the POR program to offset collection costs

PUCO had also directed EOG to explore larger changes to POR, including the elimination of the POR program if EOG were to exit the merchant function, and capping the purchased receivables to the Standard Choice Offer rate, "to protect ratepayers".

In the workshop process, EOG is to detail the data that EOG has concerning bad debt (including specifically from choice and non-choice customers), collection practices, and related costs, with the workgroup to determine the dissemination of such data to workgroup members, subject to agreement by EOG in consultation with PUCO Staff. The stipulation provides that no specific supplier information shall be provided or made accessible through the workshops by EOG on a "named basis" or in such a manner to allow for the identification of a supplier

Within 90 days after the conclusion of the workshop process, EOG shall file a report with PUCO concerning the workshop process

The stipulation also addresses other retail market issues, including fees charged to retail suppliers

Under the settlement, EOG's Eligible Customer List fee would be reduced to $0.036 per name and address, from the current fee of $0.048 per name and address

The settlement would not alter the charge for the alternative Eligible Customer List payment option, under which a supplier may pay $0.072 per name and address provided, and EOG shall provide not more than three quarterly updates during the 12 months following the date of the customer information agreement at no charge and at a time to be determined solely by EOG

Additionally, the stipulation would lower the Customer Conversion Charge to $4.29 from the current charge of $4.78

The Customer Conversion Charge applies to each End Use Customer when the End Use Customer initially receives commodity service from a Supplier after having been served in the prior Customer Billing Cycle by another Supplier.

Settling parties also agree to modify the General Transportation Service (GTS) Tariff to provide as follows: "A Customer that fails to maintain a supply of natural gas in compliance with Section 1.1 shall be subject to removal from this rate schedule as set forth in this Section 1.3. If East Ohio determines that a Customer has failed to maintain such a supply, East Ohio shall provide written notice to such Customer that it will be removed from this rate schedule if it does not reestablish such a supply. If Customer fails to reestablish such a supply within two billing cycles of the notification from East Ohio, East Ohio will transfer the Customer to the Large Volume Gas Sales Service ('LVGSS') rate schedule for the next billing period. If the Customer is eligible to receive service under the Large Volume Energy Choice Transportation Service ('LVECTS') rate schedule the Customer shall receive such service subject to the 'Applicability' provisions of the LVGSS rate schedule. Nothing in this paragraph shall be construed to limit East Ohio’s ability to exercise other remedies under its tariff or the law."

In the rate case, PUCO Staff had proposed that, if a GTS customer fails to obtain or arrange for service with a Supplier, then the customer would automatically default to the Large Volume Gas Sales Service (LVGSS) rate schedule for up to two months and then move to the Large Volume Energy Choice Transportation Service (LVECTS), if eligible, or until a Supplier is obtained

The settlement provides such a GTS customer with two billing cycles to re-establish supply prior to defaulting to another rate schedule

Stipulating parties agree that unpaid charges under the GTS tariff are not recoverable through the Uncollectible Expense Rider

Case 25-1097-GA-AIR et al.

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