Pennsylvania Utility to Move From Quarterly Rate to Six-Month Fixed Default Service Rate for Residential Customers Under Settlement

A partial settlement in PPL Electric Utilities' default service proceeding for the period beginning June 1, 2015 would depart from the current quarterly price changes for residential and small commercial default service, in favor of six-month fixed pricing.

The settlement would adopt semi-annual reconciliations for small customer default service costs, which, along with the procurement schedule, paves the way for implementation of a six-month fixed Price to Compare for residential and small C&I default service customers.

Default service for residential and small commercial customers would be served under laddered 6 and 12-month full requirements contracts, plus legacy block supplies. Click here for a chart of the laddering process.

PPL's proposal to lower the hourly pricing cutoff to 100 kW is reserved for litigation.

Under the partial settlement, PPL Electric will issue its Price to Compare 30 days in advance of the effective date of the PTC. PPL Electric will discontinue its practice of issuing a preliminary PTC approximately 45 days before the effective date.

PPL will hold a collaborative regarding its proposal to develop a web "self service" channel for its Standard Offer customer referral program. A collaborative will also examine other aspects and potential changes to the program, including acceptance of bill ready billing

Also reserved for litigation is the issue of the party responsible for non-market-based PJM charges, and whether these charges should be bypassable or nonbypassable.

The settlement was signed by, among others, PPL, the Office of Consumer Advocate, the Office of Small Business Advocate, PP&L Industrial Customer Alliance, and the Retail Energy Supply Association. The PUC's Bureau of Investigation and Enforcement does not oppose the settlement

Docket P-2014-2417907