N.Y. Sets Technical Conference on ESCO Licensing Requirements, Also Licensing of Distributed Resource Providers

The New York PSC has scheduled for May 12 a technical conference to discuss rules regarding Commission regulation and oversight of Distributed Energy Resource (DER) providers and products, and to discuss and develop proposals for new eligibility criteria for Energy Service Companies (ESCOs) providing service in New York State.

PSC Staff said that it will initiate a "thorough" review of ESCO eligibility requirements to provide services in New York State.

"Staff’s goals for this conference are to obtain input from interested parties regarding criteria for ESCOs to be eligible to sell electricity or natural gas in New York State, and to maintain eligibility. Since those rules were last reviewed, the Commission has initiated a number of proceedings affecting retail energy markets. These include a proceeding designed to increase the participation and benefits of residential and small non-residential customers, and another to reform the State’s energy industry to, among other things, promote penetration of renewable energy resources and enhance customers’ ability to manage their energy usage and bills. In addition, Staff and the Commission have gained experience and insight through monitoring and active regulation of changing retail energy markets," Staff said.

"As a result, a review of the ESCO eligibility requirements to reflect lessons learned, changes in the marketplace, and implement additional structure for the market is appropriate. An outline of ESCO eligibility topics to be discussed at the May 12, 2015 Technical Conference will be issued in a subsequent notice," Staff said.

Staff’s goals for this Technical Conference are to obtain input from interested parties regarding the design, structure, and level of supervision of DER providers that will be appropriate to ensure consumer protections, while at the same time will enable markets to develop through fair competition. Staff wishes to conduct a substantive discussion with stakeholders regarding the advantages, benefits, detriments, and other aspects of various approaches to DER oversight.