N.Y. Muni Aggregation Seeks Clarification on Small Commercial Customers, Asks For "Broad" Definition

Sustainable Westchester Inc. has sought clarification from the New York PSC regarding the definition of "small commercial customer" as used in the PSC's order approving Sustainable Westchester's plan to implement municipal aggregation "demonstration" programs.

Specifically, in its prior order, the PSC stated that, "[t]o initiate this demonstration CCA [community choice aggregation] project, the utilities must provide aggregated customer data for residential and small commercial customers who are not currently taking service from an ESCO to the municipalities that have been properly authorized to implement the CCA pilot."

"It is unclear from this usage precisely what the Commission meant by 'small commercial customers," SW said.

SW requested that small commercial customers, "be defined broadly."

"SW believes that the CCA Pilot should be available to the broadest base of customers, and to ensure the greatest savings, municipalities should have the opportunity to maximize the number of customers and include the broadest range of service classifications. This insures a larger pool of constituencies for implementation of CCA's goals, enhances CCA economics, and provides benefits to a wider class of customers," SW said.

"Having an additional opt-in enrollment for large consumers would introduce a high degree of uncertainly to load forecasts and disadvantage the Pilot," SW said.

"Limiting participation to smaller consumers means that the load procured would be at risk of becoming imbalanced which could drive up price," SW said.

Other than seeking a "broad" definition, SW itself did not propose a specific delineation for small commercial, either in terms of distribution rate class or demand.

SW said that should the PSC not rule quickly on its request, 'SW intends to proceed with the CCA Pilot with the definition of 'small non-residential customer' contained in the UBP prior to the February 2015 amendment, subject to the guidance of the Commission."

The definition of small non-residential customers previously in the UBPs was, "a non-residential electricity customer in a utility service classification that does not have a demand rate element or a non-residential natural gas customer in a utility service classification that provides firm service."

SW said in its April 23 filing that five Westchester communities have already voted in support of the municipal aggregation pilot and eleven additional communities have scheduled meetings to consider municipal aggregation.

Case 14-M-0564