The Commission has extended the bid submission deadline to March 28 for marketers interested in acting as the Regulated Provider of Natural Gas, beginning on September 1.

The Regulated Provider serves Group 1 and Group 2 customers, who are either low income residential consumers or customers who have been unable to obtain or maintain gas supply. Scana has been the Regulated Provider since September 2002.

The Commission has amended the regulations governing disconnections by a supplier. Written notice of disconnection must be provided at least 15 days prior to disconnection, with the consumer able to pay a portion of the balance to avoid disconnection. The regulations detail the disconnection notice's terms and the disconnection procedures. Suppliers also must provide 2 days prior notice before disconnection if personal contact has not been made.

The Commission approved ConEd's electric settlement that NEM supported as a signatory. The settlement includes a number of accelerated migration strategies including: 1) a purchase of receivables program at an initial discount rate of .97 percent, 2) a retail marketing program akin to O&R's Switch & Save program whereby customers are referred to ESCOs and receive a 7% discount from the Energy Shopping Price for two billing cycles; 3) Market Match and Market Expo activities; 4) designation of an ESCO ombudsman; and 5) customer migration incentives to ConEd. The settlement also provides that a collaborative will be instituted to consider a retail market auction pilot for a segment of mass market customers. The full text of the Order Approving Settlement will be posted on the NEM Website when made available electronically. The ConEd Settlement is available on the NEM Website.

With testing ongoing, ConEd expects to implement its purchase of receivables program on April 8. As a result of ConEd's discussions with ESCOs, it will be implemeting changes to EDI transactions to support the program. Once the changes to the EDI transactions are implemented, a transaction testing schedule will be established.

No suppliers responded to the request for bids for Dayton Power and Light's pilot program, which was issued on February 10. A second request for bids will be issued on April 11, with bids due by May 10. If no supplier is found, the pilot will end in August.

At the recent prehearing conference on Columbia Gas' proposed fixed price service, the ALJ requested additional information on NEM's standing to participate in the case. In its Answer, NEM requested that it be allowed to participate in the case as either a complainant or intervenor and explained how this was supported by relevant caselaw. NEM and its members (individually and collectively) will suffer a direct, immediate and materially adverse impact if Columbia is permitted to "unilaterally set and/or fix natural gas prices without regard to its embedded costs of service" or "unilaterally price discriminate among customers without regard to its embedded costs of service." Further, NEM's participation will advance the public interest in developing the competitive gas market, and NEM's interest is not adequately represented by other parties.

The ALJ also decided not to certify the material question raised by NEM - NEM had requested the full commission to rule on the propriety of a utility fixing prices and price discriminating by negotiation before the parties engaged in a hearing on whether the prices so fixed or negotiated are just and reasonable. NEM has decided not to seek interlocutory review at the Commission at this time.

The full texts of NEM's Answer and the ALJ's Procedural Order are available on the NEM Website.

The FirstEnergy companies requested that the Commission issue a declaratory order regarding whether utilities own alternative energy credits and other environmental attributes associated with non-utility generation facilities. The case has been assigned to the Office of Administrative Law Judge. The Judge will determine whether this issue should be determined in a single consolidated case or if there will be utility specific proceedings.

Answers and interventions are due by April 20.

Commission Staff has developed a recommended timeline for the implementation of the new alternative energy portfolio law, which went into effect on February 28.

Staff proposes that the proposed depreciation schedule for DSM credits and verification standards be issued on June 28, with comments due by August 27 and final standards issued by September 26. Staff also proposes that net metering and interconnection rules be issued by November 30.

The first compliance year would begin on June 1, 2006, with a report by the program administrator due by June 1, 2007. From June 1 throught September 1, 2007, non-compliant utilities and suppliers would be able to acquire credits to meet their compliance obligations (the true-up period). Beginning on September 2, 2007, the Commission would hold hearings, if necessary, to set alternative compliance payments.

On March 4, the Commission issued an implementation order regarding the new customer protection law applicable to electic and gas utilities. Implementation plans by the utilities are due by April 18. The law addresses, among other things, uncollectibles, customer creditworthiness, customer deposits and termination of residential service.

In connection with its annual report to the legislature, the Commission is requesting comments on the facilitation of electric competition. The Commission requests comments on national, regional, or Virginia restructuring efforts and policies. Comments are due May 2, 2005 to david.eichenlaub@scc.virginia.gov. Reply comments are due June 1, 2005. The full text of the Request for Comments is available on the NEM Website.