Retail Price Adjustment for Standard Choice Offer Customers at Vectren to Increase

Update: PUCO accepted the Vectren SCO RPA as set in the auction as described below

Vectren Energy Delivery of Ohio's Standard Choice Offer auction conducted on January 13, 2015 resulted in a Retail Price Adjustment of $1.15 per Mcf for the period April 1, 2015 through March 31, 2016.

PUCO is to address approval of the auction results today.

The current Retail Price Adjustment is $1.05 per Mcf.

Under the SCO auction, winning suppliers will directly serve non-shopping, choice-eligible customers won through the auction for the period April 1, 2015 through March 31, 2016 at a price equal to the Retail Price Adjustment, fixed for the 12-month term, plus the NYMEX prompt month settlement price for gas. Winning bidders also provide a proportional share of the volumes required to serve choice-ineligible customers under Default Sales Service.

Nine tranches of customers were available in the auction, and bidders were limited to winning a maximum of three tranches. Seven bidders participated in the auction, which is the same number that participated in the year-ago auction.

There were five winning bidders in the January 2015 auction, with two suppliers winning 3 tranches each, and three suppliers serving 1 tranche each.

Identities will remain confidential for 15 days.

Last year's auction also produced five winning bidders.

World Energy Solutions conducted the descending clock auction