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Duquesne Light Company
What options exist for purchasing power?
Duquesne Light territory non-residential customers can choose between two primary supply sources, the incumbent utility Duquesne Light, or an alternative Electric Generation Supplier (EGS). For large non-residential customers the utility offers an hourly price option or a fixed price default service option. The utility products have no developmental or contract flexibility. A competitive supplier can offer a range of product types that can be developed to meet your unique and specific needs. The competitive supplier product can enable the end user to take advantage of market conditions with terms and conditions that are beneficial to both parties.
What remains the same?
Your local electric utility company retains ownership and operational control of distributing your electricity. The distribution infrastructure is the poles, transformers and wires that distribute the electricity. The utility must provide reliable delivery or distribution service even when you choose an alternate supplier.
How are the Duquesne Light rates determined?
For residential and small commercial customers the Commission approved Duquesne's request to raise generation rates by 11.5% in the years 2005 through 2007. Duquesne entered into a contract with its affiliate, Duquesne Power, to provide power at fixed rates. For mid-sized commercial and industrial customers, generally those between 25kW and 300kW,have been competitive auctions to set the rates for the fixed price service. For larger commercial and industrial users, Hourly Price Service (HPS) is the default service under which the customer pays the real-time market clearing prices within PJM applicable to its location, along with a capacity payment.
PPL Electric Utilities
What options exist for purchasing power?
PPL territory non-residential customers can choose between two primary supply sources – the incumbent utility PPL Electric Utilities – or an alternative Electric Generation Supplier (EGS). The changes, however, do not occur overnight. 2010 will follow a Competitive Bridge Plan, while 2011 to 2013 will have a Default Service Plan.
2010:
In 2010, PPL territory large non-residential consumers (rate classes LP-4 and above) who do not select an EGS will have hourly price and fixed price service options from PPL. The fixed price option is a one-time, one-year offering available to large non-residential consumers who expressed interest prior to July 27, 2009. This optional product will have its price determined based on a single solicitation by PPL occurring in October, 2009. Consumers will then have a 30-day window to “opt in.”
In 2010, PPL territory small non-residential customers (rate classes GS-3 and below) who do not select an EGS will automatically convert to a fixed price product with a price based on a blend of 6 RFPs spread between July 2007 and October 2009.
There are no switching restrictions with any of the PPL products during the Competitive Bridge Plan which covers 2010. Large or small customers on PPL-provided service may leave at any time; however, large customers leaving the fixed price product who subsequently return will only have the hourly price service option for the remainder of 2010.
What remains the same?
Your local electric utility company retains ownership and operational control of distributing your electricity. The distribution infrastructure is the poles, transformers and wires that distribute the electricity. The utility must provide reliable delivery or distribution service even when you choose an alternate supplier.
How are PPL default rates determined?
For the Competitive Bridge Plan in 2010:
For the fixed price product for large non-residential customers, there will be a single solicitation in early October 2009 for 100% of the power covering the year 2010. GDF SUEZ Energy Resources will provide more info once the results are published October 8-9, 2009.
For small non-residential customers, the fixed price is determined by blending the results of 6 staggered RFPs. Five have already occurred, and PPL has published the average results here. PPL will publish the 2010 rates by rate class in their tariffs as well.
For the Default Service Plan, 2011 to 2013:
Large customers will only have the hourly pricing option during this period.
For small non-residential customers, fixed pricing will be a blend of 12-month, 24-month, and spot market purchases spread across 8 RFPs.
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