Partial Settlement Filed In FirstEnergy Utilities Default Service Proceeding

Several parties have entered into a partial settlement agreement to address certain issues raised in the default service proceeding of the FirstEnergy Pennsylvania utilities

The partial settlement provides that:

• The FirstEnergy PA utilities ("Companies") are currently providing residential Time of Use service under the terms and conditions of the Companies' Price to Compare Default Service Rate Riders as described in each Company's Rider K, Time-Of-Use Default Service Rider. The Companies will make a specific proposal regarding their residential time of use rate offerings in the earlier of their first base rate increase requests or default service proceedings following full implementation of smart meter back office functionality, which is planned for fourth quarter 2019 as of the date of this Partial Settlement.

• Subject to the appropriate approvals by the Commission, issues related to supplier consolidated billing shall be addressed in the Commission's generic proceeding on the topic in Docket M-2018-2654254.

• Network Integration Transmission Services (NITS) will remain the responsibility of both default service and electric generation suppliers.

• The parties agree that the Companies' proposal related to the distribution and recovery of FERC 494 Settlement allocations will be considered uncontested in this matter.

• The parties agree that concerns related to net metering will not be addressed in this proceeding.

The settlement was signed by the FirstEnergy PA utilities, the Office of Consumer Advocate, the Office of Small Business Advocate, the Met-Ed Industrial Users Group, the Penelec Industrial Customer Alliance, the West Penn Power Industrial Intervenors, and the Retail Energy Supply Association