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October 10, 2008
Upcoming NEM Meeting Dates

Please save the date for NEM's Fall Leadership Roundtable. The meeting will take place October 28-29, 2008, and will be hosted by IDT Energy at their offices located at 520 Broad Street in Newark, New Jersey. NYPSC Chairman Garry Brown, NYPSC Commissioner Robert Curry, NJBPU Commissioner Nicholas Asselta, NJBPU Commissioner Frederick Butler and NYPSC Staff are confirmed to participate. Eric Matheson, Energy Advisor to Pennsylvania PUC Chairman Cawley, is confirmed to attend. Delaware State Senator Harris McDowell will also attend. Angelina LaRose, Office of Oil and Gas/Energy Information Administration, will also participate. A Revised Draft Agenda is available at this hotlink. Please register at this hotlink. Special room rates have been arranged at the Hampton Inn Suites River Walk Hotel in Harrison, NJ. Hotel accommodations at the preferred $119.00 rate are being coordinated by IDT. Please call (973) 438-4531 to arrange your hotel reservation.

NEM's Winter Executive Committee Meeting will be held at Infinite Energy/Intelligent Energy headquarters at 7001 SW 24th Avenue in Gainesville, Florida. The meeting will take place January 20-21, 2009. Please register at this hotlink. A block of rooms has been reserved at the Hilton University of Florida Conference Center at 1714 SW 34th Street, Gainesville, Florida at a rate of $139 per night. Contact 352-371-3600 for reservations.

NEM's 12th Annual Global Energy Forum & Membership Meeting will be held April 28 & 29, 2009. The meeting will be held at the Embassy Suites Washington D.C. - Convention Center located at 900 10th Street, NW, Washington, DC. Please register at this hotlink. A block of rooms has been reserved for NEM members at the rate of $279 per night. Contact 202-719-1421 for reservations.

Metromedia Energy (MME) Nominated to NEM Executive Committee

The National Energy Marketers Association (NEM) is pleased to announce that Metromedia Energy (MME) has been nominated to NEM's Executive Committee. Metromedia Energy (MME) is one of the largest and most experienced marketers in the competitive energy industry. MME is an independent energy marketer and not affiliated with any utility or energy wholesaler. MME's mission is to provide the highest level of customer satisfaction for the lowest cost and save its customers unnecessarily high utility costs. Metromedia Energy (MME) serves over 20,000 commercial natural gas and power customers including many of the Fortune 500. MME provides service for its customers from coast to coast, however its primary focus is the Northeastern United States. Metromedia Energy (MME) will be represented within NEM by Jonathan Morris, Anthony Fornoratto, and Gordon Pozza.

FTC Workshop on "Unfair Methods of Competition"

FTC will convene a public workshop to discuss the scope of the prohibition of "unfair methods of competition" set forth in Section 5 of the FTC Act. The workshop will take place on October 17, 2008, in the Conference Center of the FTC's Washington offices. FTC notes Supreme Court precedent finding that Section 5 reaches to broader categories of conduct than that prohibited under the Sherman Act, although the precise reach of Section 5 is subject to debate. The workshop will focus on three topics: "1) the history of Section 5, including Congress's enactment, the FTC's enforcement, and the courts' response; 2) the range of possible interpretations of Section 5; and 3) examples of business conduct that may be unfair methods of competition addressable by Section 5." Comments on these issues will be accepted through October 24, 2008. FTC has released a detailed Workshop Agenda (available at this hotlink).

FERC and NARUC Seek Comments on Competitive Procurement Report

FERC and NARUC have requested industry stakeholder comments on the the study of competitive procurement practices produced as part of the NARUC/FERC Competitive Procurement Collaborative. The study, entitled “Competitive Procurement of Retail Electricity Supply: Recent Trends in State Policies and Utility Practices” was issued in July 2008. It reviewed state and utility procurement practices across the country and suggested criteria for evaluating competitive procurements. These criteria include:
1) The procurement process should be fair and objective;
2) The procurement should be designed to encourage a robust competitive response and creative offerings from market participants;
3) The procurement should select winning offers based on appropriate evaluation of all relevant price and non-price factors;
4) The procurement should be conducted in an efficient and timely manner; and
5) When using a competitive procurement process, regulators should align their own procedures and actions to support the development of a competitive response.

Comments on the study are due October 20, 2008, for consideration at the November 18th meeting of the Collaborative. The full texts of the Competitive Procurement Study and Request for Comments are available on the NEM Website.

Natural Gas Conference

FERC announced that it will convene a conference focused on natural gas demand and supply issues as they relate to the development of the domestic natural gas industry and the effect upon infrastructure. The conference will be held November 21, 2008, from 9:30AM to 12:30PM at the Commission's Washington headquarters. Additional details and an agenda will be forthcoming. The full text of the Notice of Public Conference is available on the NEM Website.

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Proposed Decision on Removing DWR from Electric Power Supplier Role

The ALJ in the proceeding examining reinstatement of direct access issued a proposed "Decision Authorizing Measures to Facilitate Removal of Department of Water Resources from the Role of Supplying Electric Power." The Proposed Decision sets forth a plan to facilitate the removal of the Department of Water Resources (DWR) from its role of supplying electric power to retail customers, with a target date for this to occur of January 1, 2010. DWR no longer contracts for power but continues to supply power under pre-existing contracts, with the last to expire in 2015. The Proposed Decision would authorize, "the formation of a Working Group as a vehicle for DWR, the IOUs, and Commission staff to plan and implement detailed protocols and strategies for conducting negotiations with the counterparties to the DWR contracts with the goal of removing DWR as a party to the contracts while ensuring that any resulting contract changes are not detrimental to ratepayers." The full text of the Proposed Decision is available on the NEM Website.

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Staff Comments in Competitive Gas Supply Rulemaking

Staff filed reply comments in the Commission's competitive gas supply rulemaking, summarizing the parties' positions and offerings its position on what it deemed were the major issues. Staff's position is that uniform electronic processes should be required to be applied to retail gas supply by the utilities. Staff opined that the current partial payment posting hierarchy should be changed such that the utilities be required to adopt either POR or pro rata sharing. The rules should be clarified to treat gas as "first in" for enrollment purposes. Because of the lack of synchronization between the supplier's obligation to provide gas and the supplier's right to receive compensation for commodity supplied, Staff recommends that the utilities prorate the first month's payment. The full text of Staff's Reply Comments is available on the NEM Website.

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Hearing on Wholesale Electric Markets

The Commission announced it will hold an en banc hearing on the current and future wholesale electricity markets. The hearing will take place October 23, 2008, at 12:30PM in Hearing Room 1 of the Commonwealth Keystone Building in Harrisburg. The hearing will include opening remarks from the Pennsylvania PUC Commissioners, followed by FERC Commissioner Spitzer and representatives from PJM, MISO, the PJM Market Monitor, and the Organization of PJM States. A subsequent hearing on this issue will be held at a later date. The full texts of the Hearing Notice and Agenda are available on the NEM Website.

Hearing on Alternative Energy, Energy Conservation and Efficiency, and Demand Side Response

The Commission announced it will hold an en banc hearing on alternative energy resources, energy conservation and efficiency, and demand side response (DSR) tools. The hearing will take place November 13, 2008, at 12:30PM in Hearing Room 1 of the Commonwealth Keystone Building in Harrisburg. The hearing is a continuation of the Commission's DSR investigation. The Commission identified a series of issues for hearing participants to address including: 1) existing utility DSR programs; 2) combination of DSR and energy efficiency (EE) programs; 3) cost recovery of DSR and EE programs; 4) standards for meter capabilities and interoperability; 5) use of time-of-use and other load-management rates; 6) statewide coordination of DSR/EE programs; 7) program selection and evaulation; 8) program administration by utility, PUC or third party; 9) costs of administration; and 10) standardized rules for meter and meter data access. The full text of the Notice of Hearing is available on the NEM Website.

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