Comments in FERC Notice of Proposed Rulemaking (NOPR)
The Commission is intervening and filing comments today in the rulemaking docket at the Federal Energy Regulatory Commission (FERC), in which the federal agency will consider rules for regional transmission organizations. Among other things, the SCC’s comments support the development of RTOs, urge the federal commission to require RTOs to be operated truly independently, to give RTOs additional responsibility for system reliability planning, and to establish mechanisms for expedited resolution of complaints and enforcement of operational rules. The comments also cite the complimentary roles of state and federal regulation and requests the federal agency to take cognizance of requirements established by state law that are not inconsistent with the Federal Power Act.
Competitive Metering and Billing Study.
The Commission’s Staff is completing its report to the General Assembly on the potential for making metering, billing, and other services competitive—all as required by SB 1269. Metering and billing of electricity services were not made competitive by our restructuring bill; for now, they remain part of incumbent utilities’ regulated distribution services. We will deliver the report to this task force on or before its statutory due date—September 1—so that it may be received on behalf of the General Assembly.
Electricity Retail Choice Pilot Programs.
Commission Staff is reviewing a recently-issued Hearing Examiner’s Report regarding the interim rules for the pilot programs. The Commission will take action on the Report after a period for comments by interested parties. The Order in this case will settle many important, unresolved issues. Hearings on proposed utility pilot programs are scheduled to begin on September 8 for Virginia Power, and on November 9 for AEP.
Electronic Data Transfer Working Group.
The VA Electronic Data Transfer Working Group (VAEDT) is targeting November to complete the initial programming to establish EDI Standards. Intense testing and further development will then follow throughout late 1999 and early 2000. The Working Group wants as much of the EDI efforts as possible to be complete on the first day of implementing retail choice. It is recognized that the development, testing, and implementation of EDI Standards will occur in phases as such work is completed and will continue to evolve over the next few years.
Net Energy Metering.
The Commission’s Staff examining net energy metering implementation issues recently mailed questionnaires to over 60 Virginia stakeholders. The questionnaire’s purpose was to identify potential technical or logistical barriers to the smooth integration of net energy metering into Virginia’s regulated distribution system. A requirement for net energy metering was established in SB 1269.
The questionnaire addressed many key topics, including: (i) perceived advantages and disadvantages of net energy metering, (ii) additional electrical relays and protective devices, if any, required for installations, (iii) safety and performance standards over and above those currently required by law affecting installation and performance, and (iv) many other questions addressing the practical side of net energy metering implementation. Responses to these questions are expected by the end of August.
Consumer Education.
Senate Bill 1269 directs the State Corporation Commission to develop a consumer education program designed to provide essential information to retail electricity customers during the period of transition to retail competition. The staff of the State Corporation Commission is currently writing an initial draft concerning this education program. A report of the Commission’s findings and recommendations will be delivered to the Legislative Transition Task Force on or before December 1, 1999, as required by SB 1269.
The SCC’s divisions of Information Resources, Energy Regulation, Economics and Finance and Public Utility Accounting have assigned staff to this important effort. In addition, staff has received input from outside resources. Approximately 15 individuals representing various interests, including electric and natural gas companies, the electric cooperatives, energy supply marketers, consumer organizations and other state agencies have assisted Staff in discharging its duties in this area. Staff has also consulted with representatives from the Michigan and Pennsylvania public service commissions, and it has received information concerning the consumer education initiatives conducted by Columbia Gas of Virginia and Washington Gas in connection with each company’s pilot retail choice programs for natural gas supply.