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HomeAugust 8, 2023

PSC Rules Municipal Aggregation May Bundle & Bill Certain Non-Commodity Costs Through Utility Bill, POR

Throws Cold Water On Retail Suppliers Seeking Same Treatment

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During a rulemaking session, the Maryland PSC agreed to allow an opt-out community choice aggregation to bundle certain non-commodity costs into the CCA's energy rate, with such bundled rate being eligible for utility consolidated billing and purchase of receivables

PSC Chair Frederick Hoover said that a CCA is different from a retail supplier under statute, and that statute envisions that the CCA will enable and promote certain energy-related non-commodity services.

Specifically, PSC commissioners agreed that the CCA shall be able to bundle into its rate the items delineated in statute, which are:

(i) providing electricity supply and electricity supply service, including service from a generating station owned by the community choice aggregator;

(ii) promoting the use of renewable energy; and

(iii) providing and promoting energy efficiency programs promoted under [the CCA statutory provisions]

Hoover dismissed concerns that the CCA ruling would open the door for retail suppliers to bundle non-commodity charges into POR, citing a CCA's unique position under statute, and stating that retail suppliers would have a hard time convincing him that they should be allowed to recover non-commodity costs via POR. A majority of commissioners aligned themselves with Hoover's comments on this issue

The PSC concluded the RM 80 CCA rulemaking session today and voted to publish the rules in the Maryland register

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PSC Rules Municipal Aggregation May Bundle & Bill Certain Non-Commodity Costs Through Utility Bill, POR | EnergyChoiceMatters.com