Maryland PSC Staff Oppose Rehearing of Columbia Gas Choice Program Termination

Staff of the Maryland PSC has recommended that the Commission deny requests for rehearing of the PSC's decision to terminate the Columbia Gas choice program.

However, Staff noted that on rehearing, Washington Gas Energy Services, for the first time, "has offered certain facts that, had they been before the Commission during the hearings in this matter, may have affected the Commission's decision." Staff did not specify what these facts were.

Among other things, WGES said in its rehearing request that the low participation in the Columbia choice program, upon which the PSC based much of its decision (under the conclusion that implementation and administrative costs of the choice program could not be sustained under such a small customer base), results from various barriers which include: a balancing charge significantly above that charged in other utility choice programs; the requirement that suppliers serving firm loads must take or pay for a one-year assignment of Columbia's firm upstream contract capacity but cannot return the capacity should their customers switch, unlike the practice in other choice programs; and the division by Columbia of its service territory into market zones with usage thresholds that require suppliers to cumulate customers before enrollments would be accepted.

"Should the Commission wish to reconsider its Order, it may want to include those issues which go to the reasons for Columbia's low participation rate in its Choice program," Staff said.