Massachusetts DPU Offers to "Facilitate" Purchase of Receivables Settlement

The Massachusetts DPU has informed stakeholders that it would like to "facilitate" settlement negotiations regarding (what are hoped to be) the final outstanding issues regarding the electric distribution companies' purchase of receivables (POR) programs.

More than a year ago, the DPU adopted a set of model terms and conditions for the POR programs. Compliance filings by the electric distribution companies to implement the model terms and conditions remain pending.

The DPU recently issued an interlocutory order on several aspects of the POR programs. Discussions regarding the POR supplier service agreements remain ongoing.

On May 24, 2012, the EDCs reported that negotiations were ongoing and that the parties had agreed to continue to engage in a good faith exchange of information. The companies proposed that they continue discussions and provide a further update when warranted.

"In the interests of ensuring implementation of the purchase of receivables program as soon as practicable, the Department would like to facilitate the settlement negotiations," the DPU said yesterday in a memo to parties.

"The Department does not wish to involve itself in the process unless the parties think that this would be helpful. Accordingly, parties should provide a response to the Department, no later than Tuesday, July 24, 2012, as to whether and how the Department could help in facilitating the negotiations. The parties should strive to prepare and submit a joint response," the DPU directed.