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

Updated 1/14/16: The Public Utilities Commission of Ohio approved the Retail Price Adjustment of $1.20 per Mcf for the period April 1, 2016 through March 31, 2017

Vectren Energy Delivery of Ohio's Standard Choice Offer auction conducted on January 12, 2016 resulted in a Retail Price Adjustment of $1.20 per Mcf for the period April 1, 2016 through March 31, 2017.

PUCO is to address approval of the auction results today.

The current Retail Price Adjustment is $1.15 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, 2016 through March 31, 2017 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. Five bidders made bids in the auction, versus seven bidders in the year-ago auction.

There were four winning bidders in the January 2016 auction, with two suppliers winning 3 tranches each, one supplier winning 2 tranches, and one supplier winning 1 tranche

Identities will remain confidential for 15 days.

Last year's auction produced five winning bidders.