(C) Filing by affiliated REP. An affiliated REP shall
make filings necessary to implement subparagraphs (A) and (B) of this
paragraph on a schedule to be determined by the commission.
(h) Non-price to beat offers.
(1) Offers to residential customers. An affiliated
REP may not offer any rates other than the price to beat rates to
residential customers within the affiliated electric utility's service
area until the earlier of 36 months after the date customer choice
is introduced, or when the commission determines that an affiliated
REP has met or exceeded the threshold target for residential customers
described in subsection (i) of this section.
(2) Offers to small commercial customers. An affiliated
REP may not offer rates other than the price to beat rates to small
commercial customers until the earlier of 36 months after the date
customer choice is introduced, or when the commission determines that
an affiliated REP has met or exceeded the threshold target for small
commercial customers described in subsection (i) of this section.
(3) Offers to aggregated small commercial load. Notwithstanding
paragraph (2) of this subsection, an affiliated REP may charge rates
different from the price to beat for service to aggregated loads having
an aggregated peak demand in excess of 1,000 kW provided that all
affected customers are commonly owned or are franchisees of the same
franchisor.
(A) If aggregated customers whose loads are served
by an affiliated REP in accordance with this subsection disaggregate,
those individual customers may resume service under the applicable
price to beat rate(s), provided that those customers meet the eligibility
requirements of subsection (e) of this section.
(B) Any usage removed from the threshold calculation
in subsection (i)(1)(B) of this section due to aggregation shall be
added back into the threshold calculation upon disaggregation of the
aggregated load.
(i) Threshold targets.
(1) Calculation of threshold targets.
(A) Residential target. The residential threshold target
shall be equal to 40% of the total number of kilowatt-hours (kWh)
consumed by residential customers served by the affiliated electric
utility during the calendar year 2000.
(B) Small commercial target. The small commercial threshold
target shall be equal to 40% of the following difference: the total
number of kWh consumed by small commercial customers served by the
affiliated electric utility during the calendar year 2000 minus the
aggregated load served by the affiliated REP that complies with the
requirements of subsection (h)(3) of this section. The kWh associated
with a customer who becomes ineligible for the price to beat because
the customer's peak demand exceeds 1,000 kW shall also be removed
from the threshold target.
(2) Meeting of threshold targets. Upon a showing by
the affiliated transmission and distribution utility that the electric
power consumption of the relevant customer group served by nonaffiliated
REPs meets or exceeds the targets determined by the calculation in
paragraph (1) of this subsection, the affiliated REP may offer rates
other than the price to beat.
(A) Calculation of residential consumption. The amount
of electric power of residential customers served by nonaffiliated
REPs shall equal the number of residential customers served by nonaffiliated
REPs, except customers that the affiliated REP has dropped to the
POLR, times the average annual consumption of residential customers
served by the affiliated utility during the calendar year 2000.
(i) The number of customers served by nonaffiliated
REPs shall be determined by summing the number of customers in the
transmission and distribution utility's certificated service area
with a designated REP other than the affiliated REP in the registration
database maintained by the registration agent. Customers dropped to
the POLR by the affiliated REP shall not count as load served by a
nonaffiliated REP.
(ii) The average annual consumption shall be calculated
by dividing the total kWh consumed by residential customers during
the calendar year 2000 by the average number of residential customers
during the calendar year 2000. The average number of residential customers
during the calendar year 2000 shall be calculated by dividing the
sum of the total number of such customers for each month of the year
2000 by 12.
(B) Calculation of small commercial consumption. The
amount of electric power consumed by small commercial customers served
by nonaffiliated REPs shall be determined using the following criteria,
except that customers served by the POLR shall not count as load served
by a nonaffiliated REP:
(i) The amount of electric power of small commercial
customers with peak demand less than 20 kW consumed by nonaffiliated
REPs shall be equal to the number of small commercial customers with
peak demand less than 20 kW served by nonaffiliated REPs times the
average annual consumption of small commercial customers with peak
demand less than 20 kW served by the affiliated electric utility during
the calendar year 2000.
(I) The number of customers served by nonaffiliated
REPs shall be determined by summing the number of small commercial
customers with peak demands less than 20 kW served in the transmission
and distribution utility's certificated service area with a designated
REP other than the affiliated REP in the registration database maintained
by the registration agent.
(II) The average annual consumption shall be calculated
by dividing the total kWh consumed by small commercial customers with
peak demand of less than 20 kW during the calendar year 2000 by the
average number of small commercial customers with peak demand of less
than 20 kW during the calendar year 2000. The average number of small
commercial customers with peak demand of less than 20 kW shall be
calculated by dividing the total number of such customers for each
month of 2000 by 12.
(ii) The amount of electric power consumed by small
commercial customers with peak demand in excess of 20 kW shall be
the actual usage of those customers during the calendar year 2000.
(I) If less than 12 months of consumption history exists
for such a customer during the calendar year 2000, the available calendar
year 2000 usage history shall be supplemented with the most recent
prior history of service at that customer's location for the unavailable
months.
(II) For customers with service to a new location,
the annual consumption shall be deemed to be equal to the estimated
maximum annual demand used by the affiliated transmission and distribution
utility in sizing the facilities installed to serve that customer
multiplied by the product of 8,760 hours and the average annual load
factor for small commercial customers with peak demand greater than
20 kW for the year 2000.
(j) Prohibition on incentives to switch. An affiliated
REP may not provide an incentive to switch to a nonaffiliated REP,
promote any nonaffiliated REP, or exchange customers with any nonaffiliated
REP in order to meet the requirements of subsection (f) of this section.
Non-affiliated REPs may not provide an incentive to return to the
price to beat.
(k) Disclosure of price to beat rate. An affiliated
retail electric provider shall disclose to customers, the price to
beat in accordance with §25.471 (relating to General Provisions
of Customer Protection Rules). In addition, if an affiliated REP offers
a rate greater than the price to beat, the price to beat rate must
be disclosed along with a statement that the customer is eligible
for the price to beat. This disclosure must appear on all written
authorizations, Internet authorizations, the electricity facts label
and Terms of Service document. It must also be disclosed during telephone
solicitations before the customer authorizes service.
(l) Filing requirements.
(1) On determining that its affiliated retail electric
provider has met the requirements of subsection (i) of this section,
an electric utility or transmission and distribution utility shall
make a filing with the commission attesting under oath to the fact
that those requirements have been met and that the restrictions of
subsection (h) of this section as well as the true-up in PURA §39.262(e)
are no longer applicable.
(2) An electric utility or transmission and distribution
utility shall file a progress report with the commission after its
affiliated REP has met the requirements of subsection (i) of this
section using a 35% threshold target in lieu of a 40% threshold. Such
progress reports(s) shall be filed no later than 30 days after the
35% threshold has been met and shall contain the same information
required in this subsection.
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