 PUCO adopts electric security plan for Duke Energy Ohio
COLUMBUS, OHIO (April 2, 2015) – Today
the Public Utilities Commission of Ohio (PUCO) modified and approved an
electric security plan (ESP) for Duke Energy Ohio (Duke) that will ultimately
determine its standard service offer (SSO) rates from June 1, 2015 through May
31, 2018.
“The PUCO reaffirms the responsibility to
ensure reliable utility service in Ohio” stated PUCO Chairman Thomas W.
Johnson. “Today’s decision emphasizes our commitment to that mission while
enhancing the competitive electric market.”
Although the Commission found that Duke’s proposed
Price Stabilization Rider (PSR) is permitted under Ohio law, the recovery of
costs related to Duke’s Ohio Valley Electric Corporation obligations through
this rider was not adopted. The Commission was not persuaded that the rider, as
proposed, would benefit ratepayers. Duke is authorized to establish a
placeholder PSR, at a rate of zero, pending consideration of future proposals
to the Commission.
In order to enhance service reliability in its
territory, Duke is authorized to recover incremental costs associated with
proactively investing in the replacement and modernization of distribution
infrastructure.
Throughout the term of the ESP, Duke
will continue to utilize the competitive bidding process to provide 100 percent
of the supply needed for its SSO customers, including Duke’s Percentage of
Income Payment Plan customers. In order to minimize price uncertainty, the
Commission finds that Duke should modify its auction schedule as follows. The first
auction should occur prior to the end of the current ESP on May 31, 2015 and
offer a mix of one, two and three year products, with delivery to begin on June
1, 2015. The second and third auctions should take place in November 2015 and
March 2016, respectively, and each offer a two-year product. Finally, the
fourth and fifth auctions should occur in November 2016 and March 2017,
respectively and each offer a one-year product.
A copy of today’s Commission
opinion and order is available at www.PUCO.ohio.gov.
Click on the link to the Docketing Information System (DIS) and enter the case
number 14-841-EL-SSO.
-30-
14-841-EL-SSO
The Public Utilities Commission of Ohio (PUCO) is the sole agency charged with regulating public utility service. The role of the PUCO is to assure all residential, business and industrial consumers have access to adequate, safe and reliable utility services at fair prices while facilitating an environment that provides competitive choices. Consumers with utility-related questions or concerns can call the PUCO Call Center at (800) 686-PUCO (7826) and speak with a representative.
For additional information, contact: Matt Schilling | (614) 466-7750
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