SBUA entered a settlement agreement with PG&E and other parties to decrease the cost of electricity for small commercial customers. This is significant because PG&E initially requested an increase in the cost of bundled electricity for small businesses. This settlement advances SBUA’s mission to protect small businesses from disproportionate rate increases and represent small commercial customers at PUC proceedings.
Since our meeting in April 2015, SBUA has been busy especially in the Portland General Electric General Rate Case representing small business, in particular for this docket, the Small Nonresidential Customer. This class of small business customers is by far the second most numerous customer class served by PGE, behind only residential which is by far the largest class, and small business is a much more numerous class than large commercial, irrigators, and other customers. The docket UE 234, PGE proposed about a 6% increase in retail electricity rates w/small commercial customers bearing the largest rate increase. SBUA intervened and participated in meetings and settlement discussions and learning more particulars about the proposal. [click to continue…]
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In October 2015, SBUA filed as a party before the California Public Utilities Commission to intervene on Pacific Gas & Electric’s (PG&E) request for revenue and rate increases related to its Electric and Gas Services. Prior to intervening, SBUA had been in extensive negotiations with PG&E to advance issues of importance to SBUA’s constituency, such as spending, customer service and outreach, tracking systems, high-bill notifications, economic development incentives, and promoting contracting opportunities for small businesses.
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SBUA intervened in the Portland General Electric General Rate Case representing small business (e.g.,the Small Nonresidential Customer). This class of small business customers is by far the second most numerous customer class served by PGE, far larger than commercial, irrigators, and other customers. PGE proposed a 6% or so increase in retail electricity rates with small commercial customers bearing the largest rate increase. SBUA submitted testimony, participated in meetings and settlement discussions, and pointed out the disproportionate impact on small business. See this link to SBUA testimony: www.edocs.puc.state.or.us/efdocs/HTB/ue294htb17027.pdf. SBUA declined to enter a settlement that, in our view, fell short of protecting small businesses. PGE has committed to working with SBUA on such matters moving forward. Diane Henkels, Cleantech Law Partners, represented SBUA in these matters. She can be reached by telephone at 541.270.6001 or email at dhenkels@cleantechlaw.com.
Recall that PURPA (Public Utility Regulatory Policies Act), passed in the 1970’s, is a federal, and also a state law in Oregon that requires utilities to buy power that is produced from independent generators. A main purpose of PURPA is to encourage and promote development of renewable energy generation. PURPA dockets impact small businesses in at least two ways: projects ranging between 500 kW-10 MW in Oregon have a statistically higher economic benefit to local economies than the larger projects because dollars form the projects circulate more in the local community where the project is developed. Also, these projects are often developed by smaller entities. Several dockets in Oregon and throughout the Pacific Northwest are challenging key aspects of PURPA, and SBUA is supporting efforts to inform decision-makers on these challenges, and also to inform small business on these important renewable energy rate-related statutes and policies. Diane Henkels, Cleantech Law Partners, is representing SBUA in these matters. She can be reached by telephone at 541.270.6001 or email at dhenkels@cleantechlaw.com.
SBUA is intervening before the Oregon Public Utilities Commission in Phase 2 of a proceeding to ensure small renewable energy generators (referred to as “qualifying facilities”) receive fair treatment to compete in providing electricity. Phase 2 of this proceeding focuses on third-party transmission costs, negotiation of non-standard rates, and issues related to contracts and interconnection. Read More from SBUA’s Attorneys Here
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By 2014, PG&E is planning to be the first among California’s three largest investor owned electric utilities to implement time-variant rates on small business customers. Other utilities are expected to follow. This presents both challenges and opportunities for businesses. The transition is expected to impact 500,000 of PG&E’s small- and medium-sized small business customers. The Division of Ratepayer Advocates (DRA), the independent consumer advocate within the California Public Utilities Commission, has commented on the proposals. Read More From DRA
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Small businesses in Northern California will face increased costs for electricity and gas starting in 2014. PG&E is now seeking authorization from the California Public Utilities Commission (PUC) to charge ratepayers an additional $5.3 billion over the next three-year cycle for gas and electric services as compared to the existing rate structure. (When filing a rate case, PG&E projects future costs for a rate cycle, which includes a “test year” and two or three “post test years.”) If approved, PG&E’s initial estimates are that small businesses would pay increased rates of anywhere from 6.0% to 13.8% for electricity and/or gas. This is significant. Small businesses should provide input to the PUC on whether these rate changes should be authorized.
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In January 2013, SBUA filed as a party before the California Public Utilities Commission to intervene on Pacific Gas & Electric’s (PG&E) request for rate increases related to its Electric Distribution, Gas Distribution, and Electric Generation operations. SBUA is intervening to ensure that (1) rate increases do not disproportionately affect small businesses and (2) the collected revenues are fairly allocated to include benefits for small businesses. SBUA is advocating, for example, that revenues be used in part to improve services (like generation interconnection) for small renewable energy companies.
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Last year, San Diego Gas and Electric (SDG&E) filed a General Rate Case with the California Public Utility Commission that will impact the production of renewable energy by changing Net Energy Metering (NEM). NEM allows customers that install small-scale renewable energy facilities such as photovoltaic systems to receive financial credit for power generated by their system and fed back to the utility. Today, small businesses that produce energy from solar, wind, and other qualified renewable energy technologies receive full credit for electricity supplied to the grid when an NEM customer generates more power than they are consuming. SDG&E proposes a “Network Usage Charge” that disproportionally increases costs to NEM customers as compared with non NEM customers and will reduce the incentive to produce renewable energy. Read More Here
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