Clean Currents Requests That D.C. PSC Implement POR

Clean Currents has submitted a request to the District of Columbia PSC asking that the PSC implement a Purchase of Receivables program for Pepco.

The request was not filed as a petition or application for declaratory finding, rulemaking, or investigation.

Clean Currents' request, which took the form of a 1-page letter from President Gary Skulnik with a second page showing growth in Maryland mass market migration rates since POR, did not contain much in the way of specific recommendations for program design.

However, Clean Currents argued that, "administering a POR program should not be a hardship for Pepco," given Pepco's current POR program in Maryland, suggesting Clean Currents proposes a similar program design. Clean Currents also said that Pepco would be "fully compensated" by retail suppliers for bad debt and, "the costs of administering the program".

Clean Currents did not discuss specific discount rate levels or individual components, such as the Maryland reconciliation factor (with interest accruing at Pepco's base rate of return) which, although removed from the tariff, is essentially still an open issue in Maryland.

Clean Currents noted that Pepco residential migration in Maryland has grown to about 10% (11.5% as of October 31, 2010) since the introduction of POR, while Pepco residential migration in D.C. is at 2%.

"A POR program can invigorate DC's retail electricity markets and allow residential and small commercial ratepayers to have a wider range of options for electricity supply," Clean Currents said, arguing that it will permit suppliers to serve customers with lower credit scores.

Clean Currents encouraged an "expedited process" to implement POR in the District.

Clean Currents' letter was filed by the Secretary in EA10-8, the electric licensing docket of Clean Currents Energy Services, which is Clean Currents' load-serving supplier.