PPL Time Of Use Default Service RFP Fails To Procure Tranches, Prices Set Using Contingency Plan

A recent RFP to supply Time of Use generation rate, non-shopping customers at PPL Electric Utilities failed to procure tranches for each of the Residential and the Small Commercial & Industrial Customer Groups

Under the TOU supply RFP, bids were solicited to procure full requirements tranches to serve the TOU Load of customers in each of the Residential and the Small Commercial & Industrial Customer Groups for a 6-month delivery period from December 1, 2019 through May 31, 2020.

With no tranches awarded, in accordance with Section 7.6 of the TOU RFP Process and Rules, the TOU Contingency Plan was enacted for both Customer Groups.

Under the TOU Contingency Plan, the TOU Load will be included in the Default Service Load for the applicable period and served by the Default Service Suppliers providing Default Service Supply under PPL Electric Utilities Corporation’s current default service program under Docket No. P-2016-2526627.

PPL has filed generation supply charges (GSC-1) resulting from the Contingency mechanism, as well as Prices To Compare (PTCs) for the TOU supply customers. The Contingency TOU rates generally reflect discounts to the non-TOU generation component for the applicable period, with the off-peak winter rate set at a 90% discount to the standard generation component, and the on-peak winter rate set at a 120% premium to the standard generation component.

The TOU Program Prices to Compare (includes TOU GSC-1 and flat transmission charge) are as follows:

TOU Contingency Prices To Compare 
  December 1, 2019 to May 31, 2020
    ¢/kWh


Residential
Non-Summer On peak      8.254 
Non-Summer Off peak     7.098



Small C&I
Non-Summer On peak      6.952
Non-Summer Off peak     5.850