Retail Price Adjustment (Adder) For Standard Choice Offer Customers At Vectren To Decrease

Vectren Energy Delivery of Ohio's Standard Choice Offer auction conducted on January 27, 2020 resulted in a Retail Price Adjustment of $0.75 per Mcf for the period April 1, 2020 through March 31, 2021 ($0.075 per ccf)

PUCO is to consider the auction results at its meeting today

The current Retail Price Adjustment is $0.85 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, 2020 through March 31, 2021 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.

Seven bidders made bids in the auction, versus six bidders in the year-ago auction.

There were four winning bidders in the January 2020 Vectren SCO auction

In the January 2020 auction, two bidders won 3 tranches each, one bidder won 2 tranches, and one bidder won a single tranche.

Winning bidder identities will remain confidential for 15 days.

For comparison, in the January 2019 auction, there were three winning bidders, with each supplier winning 3 tranches each