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May 30, 2008
NEM Summer Executive Committee Meeting

Proliance and their law firm, Krieg Devault LLP, have generously offered to host our Summer Executive Committee Meeting and Policy Leadership Elections on July 29 and 30, 2008, in downtown Indianapolis, Indiana. Please register for the meeting at this hotlink.

NEM has a courtesy room block until July 5, 2008, at the Embassy Suites at a discounted rate of $139/night. You must make your reservations by dialing them directly at (317) 236-1923 at your earliest convenience as they will release the rooms after the July 5 date, and the costs may increase. The location of the hotel is 110 West Washington Street in downtown Indy, 3 blocks from the meeting place.

There is no charge to attend this meeting. Please help us thank John Talley, President, and Kyle Hupfer, General Counsel, of Proliance as well as Steve Sherman, Proliance's outside counsel and founding member of NEM for their generosity in hosting this meeting.

The Meeting will start between 9 and 10AM on Tuesday morning, July 29th, and adjourn before noon on Wednesday, July 30, 2008. An agenda and draft leadership nominations will be circulated, and each member is requested to forward nominations for policy leadership positions as well as issues that NEM must address and prioritize for the coming year.

The Summer Executive Committee Meeting is where the Executive Committee members agree on mid course corrections on the priorities for NEM advocacy for the remainder of 2008 and members who wish to sponsor upcoming events give us an indication so we may start planning the meetings and events for the remainder of 2008 and 2009.

If you have questions or would like to help plan or co-sponsor an event for the members, please contact headquarters. The upcoming meeting should be very substantive, and your participation is encouraged and would be appreciated.

Meeting of CFTC's Energy Markets Advisory Committee

The CFTC's newly formed Energy Markets Advisory Committee will hold a public meeting on June 10, 2008, from 1PM to 4:30PM. The meeting will take place at CFTC's Washington, DC headquarters. On the agenda for discussion: 1) current market and regulatory developments; 2) market transparency; and 3) energy market best practices.

Regulatory Compliance Workshop

FERC Staff will convene a regulatory compliance workshop on July 8, 2008, from 9:30AM to 12PM. The purpose of the workshop is to provide a forum for stakeholders to share perspectives and information on federal energy regulatory compliance. The elements of a sound compliance program will also be addressed. A more detailed notice of workshop will be forthcoming. The Regulatory Compliance Workshop Notice is available on the NEM Website.

New York
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ConEd Report on Expansion of ESCO Referral Program

As was required in its recently issued electric rate case Order, ConEd filed a report on the feasibility of expanding its ESCO referral program to include those contacting the utility for new service. ConEd concluded that is is feasible to expand the program and that it could do so by changing its existing new service initiation process. As one of the options offered to a customer at turn on, eligible customers would be asked to choose a company to provide electric or gas supply. Eligible customers are defined by ConEd as residential and small non-residential electric service applicants and all firm service gas service applicants in connection with initiating service (excepting retroactive service initiations under certain circumstances). ConEd notes that modification to UBP requirements on customer notice and rescission periods would be needed. ConEd estimates implementation costs of the program expansion of $167,762, and ongoing operations and maintenance costs of $310,274. These costs are proposed by borne by ESCOs participating in the program. Based on the current participation of 20 ESCOs in the program ConEd estimates that would equate to $8,388 for implementation and $15,514 for ongoing operations and maintenance charged to each ESCO. ConEd suggests it would take seven months to implement the program expansion. The full text of ConEd's Referral Program Report is available on the NEM Website.

National Grid Gas Rate Case

National Grid has filed a rate case for the one-year period April 1, 2009, through March 31, 2010 (although noting it would be amenable to discussing an extended period). National Grid is seeking a $95.3 million increase in delivery revenues. By its filing, National Grid is also seeking approval of an energy efficiency program and a gas marketing program to increase utilization of its distribution system.

National Grid has proposed to update its Merchant Function Charge as follows (per therm): SC1 - $0.04963; SC2 (Res. & Comm.) - $0.04969; SC2 (Industrial) - $0.04965; SC12 - $0.04806; and SC13 - $0.04895. National Grid does not propose to change the current $0.53 per bill billing credit for customers.

National Grid is proposing certain modifications to its retail access program. This includes updating its POR discount rate and eliminating the discount rate band (1.25% to 2%) currently in effect; the Monthly Balancing Charge for daily balanced customers would be adjusted seasonally to reflect the amount of available swing capability; elimination of the customer awareness survey; requiring marketers to contract for interruptible capacity from Dominion on days needed to meet customer load in unseasonably cold conditions in April and October "shoulder months."

An initial conference will be held at the Commission's Albany offices on June 25, 2008, at 10:30AM for the purpose of identifying active parties, setting a case schedule and to address procedural matters. The full text of the Notice of Initial Conference is available on the NEM Website. The full text of National Grid's Gas Rate Filing is available from NEM headquarters.

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