PUC Approves Selection Of Retail Supplier To Supply Customers Ineligible For Choice Service, For Three-Year Term

The Public Utilities Commission of Ohio approved Duke Energy Ohio's selection of LE Energy LLC d/b/a Utility Gas and Power as an alternate natural gas supplier to serve customers in the percentage of income payment plan program, for a three-year period commencing in April 2017

Duke Energy conducts RFPs for suppliers to serve PIPP load; however, since 2014, Duke Energy has not awarded PIPP load to a supplier, and PIPP customers have been served under Duke's Gas Cost Recovery (GCR) service in 2014 as a result of what Duke considered unfavorable pricing in 2014.

In the most recent RFP, suppliers were asked to submit a bid based on an adder to the monthly NYMEX closing price which would be used to determine the rate charged to the PIPP customers, for a one to three year period beginning April 1, 2017.

Utility Gas and Power's proposed adder of $0.560 per mmbtu, for a three-year term, was the lowest offer in the RFP, and its selection was approved by PUCO

"Based on an analysis of the past five years of Duke Energy Ohio's GCR rate, this bid will almost certainly result in lower costs for customers in the PIPP program. Whether or not these savings are actually realized will depend on the actual GCR rate experienced over the term," Duke Energy Ohio had said in its application

For the bids of other suppliers, see our earlier story here