Unitil Describes Mechanics of Solution to Purchase of Receivables

Fitchburg Gas and Electric Light Company, d/b/a Unitil, has updated the Massachusetts DPU on the status of purchase of receivables implementation, including a more detailed description of the mechanics to implement POR prior to a new CIS.

Unitil had previously informed the DPU of general agreement on a POR solution prior to a new CIS being implemented, but had not previously described the mechanics of the solution.

"There is general agreement between Unitil and the Competitive Suppliers on a permanent solution to POR implementation that would be operational well before the new CIS becomes fully operational in early 2015. In this context, the new CIS would enhance existing capabilities and operations by serving to improve communication with suppliers and provide for an adequate number of rate codes to accommodate supplier rates, a limitation under the current CIS," Unitil said.

"The Company’s proposal involves providing a single monthly payment to Competitive Suppliers along with a monthly spreadsheet detailing amounts billed to customers and the calculation of the amount due to the Competitive Supplier. Since the July 31 Letter, the Company has provided the Competitive Suppliers with a draft version of the spreadsheet and has been working on revisions to its Supplier Services Agreement ('SSA') and Terms and Conditions for Competitive Suppliers tariff. In particular, the Company has been reviewing the issues raised during the August 27, 2013 technical conference to ensure they are addressed reasonably in the SSA and tariff," Unitil said.

"As next steps, the Company intends to finalize its proposed SSA and tariff and provide them to the Competitive Suppliers for review and comment, work toward settling any remaining issues with the Competitive Suppliers and prepare a filing for the Department’s consideration. Accordingly, the Company proposes to provide its next update on November 1, 2013 unless it has already made its filing," Unitil said.