RESA Seeks Ohio Review of Retail Market Structure

The Retail Energy Supply Association has asked the Public Utilities Commission of Ohio to, "initiate a proceeding to address the status of the current retail electric market and explore what changes need to be made to allow even more customers to reap the vast array of benefits that retail competition can provide."

"As part of that proceeding, the Commission should seek comments on whether there are barriers that currently exist in the Ohio market structure which are hampering the development of a fully robust competitive market," RESA said, as part of comments addressing PUCO's inquiry to dynamic pricing and other questions related to the retail market.

RESA said that as part of the requested investigation or collaborative process, the Commission should address issues such as:

• Customer Education Efforts

• Creation of an Office of Retail Market Development

• Ability of the PUCO Staff to facilitate Supplier Support with EDUs

• Website Enhancements

• Review of Current SSO Structure

• Proper unbundling and cost allocation

• Legacy Rate Design Issues

• Provision of data and information to CRES providers

• Billing Options

• Customer Referral programs

In response to specific questions regarding the Price to Compare, RESA said that greater price transparency for standard service offer (SSO) pricing is necessary to facilitate further market entry by competitive suppliers into the Ohio market.

"RESA recommends that the PTC as presented on a customer's bill should be include all of that customer's bypassable charges on a per kWh basis, which presumably would all be included in the SSO price. In most, if not all, cases, the individual bypassable charges would be the same as the SSO price for that class. There should also be a narrative explaining that the SSO price is subject to change on [X dates] of each year, which would alter the PTC. Also, the invoice would provide the website address for the EDU for customers seeking additional information relating to the PTC."

RESA also recommended that the Commission develop a more robust, comprehensive, statewide website to post competitive offers and each EDU's PTC.

In separately filed comments, Direct Energy Services, LLC said that, "the single most important thing the Commission could do to increase creative and innovative products and remove barriers to such products is to facilitate the option of supplier consolidated billing ('SCB')."

Direct said that, "[a] CRES [competitive supplier] performing this [supplier consolidated billing] function would also have the authority to instruct the EDU to suspend service to customers for non-payment. The payment structure could be implemented in several ways and these options include: keeping the existing payment priority established by the Commission; shift collection to the EDU but assure EDU of payment through a purchase of EDU receivables agreement with the CRES; or the EDU would continue to purchase the receivable from the CRES similar to Duke's approach today."