Citing Compliance Submissions Which Are Still Pending DPS Staff Approval, New York ESCO Seeks Extension To Retail Market Reset Order Deadlines
January 8, 2021 Email This Story Copyright 2010-21 EnergyChoiceMatters.com
Reporting by Paul Ring • firstname.lastname@example.org
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Family Energy, Inc. has requested a 60-day extension of several compliance deadlines from the latest New York PSC retail market reset order (the Sept. 18 order on rehearing, or "Order"), stating that Family's updated contracts and related compliance submissions remain pending with DPS Staff.
As previously reported, under the reset order, ESCOs are limited to offering mass market customers: (1) a guaranteed savings (versus the utility) plan, (2) a fixed rate product that is limited in price to a 12-month trailing average utility supply rate plus a 5% premium, or (3) for electricity only, a 50% (above the minimum RPS) renewable plan that meets deliverability and other requirements in the order. The September 2020 rehearing order provided that, effective February 15, 2021, all enrollments of new customers or renewals of existing customers must be made in conformance with the limitations set forth in the Rehearing Order
Prior to the Rehearing Order, the PSC previously granted extensions to the product compliance deadlines, as rehearing was pending.
In March 2020, Family Energy was among various ESCOs seeking an extension, as, at such time, Family explained that: (1) key questions which were raised at a January 22, 2020 technical conference remain outstanding and that certain expected guidance materials have yet to be distributed to Energy Service Companies (ESCOs) to aid in the development and implementation of compliant products and services; and (2) Family’s updated contracts, which include new product proposals, terms, and conditions of service, have yet to be approved by Department of Public Service (DPS) Staff, placing Family in a "Catch 22" whereby it may need to contractually notify its customers of forthcoming changes to products and services without having approved contracts or sufficient market security to move forward.
Family Energy in a letter to the PSC dated January 7, 2021 stated, "With only thirty-nine (39) days until the effective date of the Rehearing Order, the facts and circumstances underlying Family’s March 10, 2020 Extension Request remain equally applicable today as they did in March."
"In particular, Family’s updated contracts, terms and conditions of service, guaranteed savings product proposal, and marketing plan -- which were submitted well in advance of the re-eligibility application deadline -- still remain pending with DPS Staff. Family has yet to receive substantive comments or feedback on those materials. In light of this regulatory uncertainty, there is insufficient time to provide necessary and appropriate notices to customers, let alone develop and implement new products and services consistent with the Order," Family Energy said
"Further, Family’s petition proposing to continue to offer green gas products consistent with the Order remains pending (along with many other similarly situated petitions). Family is prepared to move forward with implementation of green gas products that are beneficial to its customers and are in alignment with New York’s decarbonization objectives. In order to ensure that interruptions to expiring existing green gas customers are avoided, an extension is necessary and warranted," Family Energy said
"Family respectfully requests an additional sixty (60) day extension of the deadlines set forth above to allow for the fair, orderly and efficient transition to new products and services contemplated by the Rehearing Order. Granting this extension request would provide appropriate time for DPS Staff to properly evaluate and address the large volume of material submitted by market participants seeking authorization to provide products and services consistent with the Rehearing Order and to ensure customers are appropriately notified and managed in accordance with their contracts and applicable regulations. Family therefore requests a sixty (60) day extension of the Order’s deadlines," Family Energy said