PENNSYLVANIA PUBLIC UTILITY COMMISSION
P.O. BOX 3265, HARRISBURG, PA 17105-3265 / IN REPLY PLEASE REFER TO OUR FILE
M-00061960
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June 27, 2006
To Whom It May Concern:
Re:Standardization of Request for Proposal documents and Supplier Master
Agreements in the Context of Default Service; Docket No. M-00061960
The Commission has directed the Director of Operations to assemble a working group to address requests for proposals (“RFP”) and supplier master agreements (“SMA”) in the context of default service. Petition of Pennsylvania Power Company for Approval of Interim POLR Supply Plan, Docket No. P-00052188 (Order entered April 28, 2006). In this Order, the Commission noted that the form and content of these documents and agreements has been the subject of litigation in this and other proceedings. The Commission concluded that the public interest may benefit from standardized documents and agreements, in that it will promote the efficient review of filings, reduce the potential for misunderstanding, and foster supplier participation.
In its proposed default service regulations, the Commission did not require the inclusion of standardized RFP documents or SMAs in default service implementation plans. Instead, the Commission reserved the right to issue orders further specifying the “form and content” of default service implementation plans. See 52 Pa. Code § 54.185(m), Rulemaking Re Electric Distribution Companies’ Obligation to Service Retail Customers at the Conclusion of the Transition Period Pursuant to 66 Pa.C.S. 2807(e)(2), Docket No. L-00040169 (Order entered December 16, 2004). In its comments to the proposed rulemaking on this section, the Independent Regulatory Review Commission (“IRRC”) stated that while Commission Orders were the best way to specify the format of default service implementation plans, required content should be addressed in the regulation itself.
Consistent with this suggestion, the Commission intends to include language in the final, adopted regulation requiring the inclusion of standardized RFP documents and SMAs in default service implementation plans. The purpose of this proceeding will be to develop these documents and agreements through a stakeholder process. The process will culminate with a Commission Order adopting standardized RFP documents and SMAs to be used in all default service implementation filings.
As a starting point, the Commission will consider standardized documents already in use in neighboring jurisdictions within the PJM Interconnection, LLC control area. We note that the Maryland Public Service Commission approved standardized documents as part of its stakeholder process of developing standard offer service rules. In the Competitive Selection of Electricity Supplier/Standard Offer Service, Case No. 8908, (Order entered September 30, 2003). These documents were later adapted for use for standard offer service in the District of Columbia and Delaware, with the approval of their public utility service regulators. Documents used in the Pennsylvania Power Company and Duquesne Light Company POLR proceedings at Dockets P-00052188 and P-000321071 will also be considered as part of this process. Parties interested in participating in this working group should familiarize themselves with these documents.
The first meeting of this working group will be held on July 26, 2006 in Hearing Room 1 at 1 pm. The focus of this meeting will be to establish a schedule and process for the development of these documents. Those interested in participating in this working group should file a notice of appearance with the Secretary’s Bureau. Parties may include initial comments with their entry of appearance with suggestions for the conduct of this proceeding and the content of the documents to be developed. Questions about this meeting may be directed to Shane Rooney at 717-787-2871.
Very truly yours,
James J. McNulty
Secretary
cc:Provider of Last Resort Roundtable service list, Docket No. M-00041792.
Petition of Pennsylvania Power Company for Approval of Interim POLR Supply Plan service list, Docket No. P-00052188
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