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TITLE 16ECONOMIC REGULATION
PART 2PUBLIC UTILITY COMMISSION OF TEXAS
CHAPTER 25SUBSTANTIVE RULES APPLICABLE TO ELECTRIC SERVICE PROVIDERS
SUBCHAPTER PPILOT PROJECTS
RULE §25.431Retail Competition Pilot Projects

    (A) Determination of the 5.0% load available for customer choice. For residential customers, the load available for customer choice shall be determined by calculating 5.0% of the number of ESIs in this customer class as of December 31, 2000. No later than January 31, 2001, the utility shall determine the amount of load available for this customer class and shall make that information publicly available through its pilot project Internet website. For this customer class, 20% of the 5.0% load available for customer choice shall be initially set aside for each customer class (hereafter referred to as the 1.0% set-aside) for aggregated loads.

    (B) Initiating switching. Beginning February 15, 2001, a REP may accept authorizations to switch providers from residential customers. A REP shall notify the utility of such authorizations for residential customers.

    (C) Reaching the 5.0% load limit. For purposes of this subparagraph the total number of ESIs eligible to switch determined in subparagraph (A) of this paragraph, less the number of ESIs that have already authorized a switch, shall be referred to as the amount of available load.

      (i) As each customer in this class authorizes a switch to another provider, the amount of available load shall be decremented by one.

      (ii) When the amount of available load reaches zero, no more switch authorizations shall be accepted.

  (3) Non-residential customer classes.

    (A) Determination of the 5.0% load available for customer choice. No later than January 31, 2001, the utility shall make the results of the following calculations for each non-residential customer class publicly available through its pilot project Internet website. For each non-residential customer class, 20% of the 5.0% load available for customer choice shall be initially set aside for each customer class (hereafter referred to as the 1.0% set-aside) for aggregated loads.

      (i) Non-residential, non-demand metered customers. For non-residential, non-demand metered customers, the load available for customer choice shall be determined by calculating 5.0% of the number of ESIs in that customer class as of December 31, 2000.

      (ii) Industrial demand-metered customers; commercial and all other demand-metered customers. For each of the demand metered customer classes, the load available for customer choice shall be determined by calculating 5.0% of the sum of the kilowatts invoiced by the utility to all ESIs in each customer class for meter reading dates during the utility's peak demand month in the year 2000. In addition, the utility shall determine the individual ESI load caps for each demand metered customer class by calculating 20% of the load available for the pilot project in each demand-metered customer class.

      (iii) Other customers as defined in subsection (d)(2)(E) of this section. For all other customers, the load available for customer choice shall be determined by calculating 5.0% of the sum of the kilowatt-hours for which all ESIs in this customer class were invoiced by the utility during the twelve month period ending December 31, 2000. In addition, the utility shall determine the individual ESI load caps for this customer class by calculating 20% of the kilowatt-hours available for the pilot project in this customer class.

    (B) Amount of available load. For purposes of this paragraph, the total load available for customer choice determined in subparagraph (A) of this paragraph, less the amount of the customer's ESI load used for calculation in subparagraph (A) of this paragraph, shall be referred to as the amount of available load for each non-residential customer class. For an ESI that was not included in the calculation in subparagraph (A) of this paragraph, hereinafter called a new ESI, the customer's ESI load shall be determined as follows:

      (i) For the non-residential, non-demand metered class, a new ESI shall count as one ESI against the total number of ESIs.

      (ii) For the demand-metered classes, the demand allocated to a new ESI shall be 95% of the utility-estimated demand for the new ESI.

      (iii) For the other class as defined in subsection (d)(2)(E) of this section, the energy allocated to a new ESI shall be 95% of the utility-estimated annual kilowatt-hours for the new ESI.

    (C) Open interest period. Beginning February 15, 2001, and continuing through March 15, 2001, interested customers may request the opportunity to participate in a utility's pilot project by submitting to the utility through its pilot project Internet website the account number and zip code information necessary to determine the customer's ESI. An eligible ESI is one that does not exceed the individual ESI load cap established in subparagraph (A) of this paragraph. By March 21, 2001, the utility shall determine if the non-residential customer classes are either oversubscribed or undersubscribed, including the amount of load oversubscribed or undersubscribed, and shall make such information publicly available through its pilot project Internet website.

      (i) Participant list. The utility shall create a list of customers eligible to participate in the pilot project, referred to as the participant list. The participant list shall include each ESI and related service address, the name in which the customer is billed, and customer class as defined in this section. No later than March 21, 2001, the utility shall make available its integrated voice response (IVR) system or its pilot project Internet website to allow a customer having an ESI in the lottery to determine whether its ESI has been selected for the participant list. The participant list for each customer class shall be provided to the commission no later than March 21, 2001.

      (ii) Oversubscription. On March 21, 2001, if a non-residential customer class is oversubscribed, the utility shall use a lottery to develop the participant list. As each ESI is selected through the lottery, the ESI's load used for the calculation in subparagraph (A) of this paragraph shall be subtracted from the total amount of load available for customer choice as determined in subparagraph (A) of this paragraph. The ESI that causes the 4.0% load limit (i.e., the 5.0% load limit less the 1.0% set-aside) to be reached shall be the final ESI selected through the lottery; the 4.0% limit may be exceeded only for the purpose of accommodating the entire load associated with the final ESI selected, except that such excess shall not cause the amount of load available for customer choice to be greater than 4.1%. Once the 4.0% load limit is reached, the selected ESIs shall be included on the participant list.

      (iii) Undersubscription. If a non-residential customer class is undersubscribed, all eligible ESIs submitted shall be included on the participant list. Beginning March 21, 2001, any unsubscribed load will be available for subscription by customers in that customer class on a first come, first served basis.

    (D) Negotiation period. Between March 21, 2001 and May 10, 2001, customers on the participant list may negotiate and contract with REPs. A REP shall notify the utility of execution of a contract. If a customer has not entered into a confirmed REP contract for a specific ESI by May 10, 2001, that ESI shall be removed from the participant list, and the load associated with that ESI shall be added to the amount of available load. On May 11, 2001, the utility shall post, on its pilot project Internet website, a list of submitted ESIs that do not match a customer on the participant list. REPs shall have until May 14, 2001 to correct any ESI listed by the utility on May 11, 2001. On May 17, 2001, the utility shall determine the amount of available load for each non-residential customer class and shall make such determination publicly available through its pilot project Internet website.

    (E) Monitoring and adjusting the amount of available load. Following the negotiation period, participation shall be allowed on a first come, first served basis.

      (i) As each non-residential customer in a class executes a contract, the amount of available load for that class shall be decremented by the amount of the customer's ESI load used for the calculation in subparagraph (A) of this paragraph.

      (ii) The ESI that causes the amount of available load to reach zero shall be the final ESI selected; the amount of available load may drop below zero only for the purpose of accommodating the entire load associated with the final ESI selected, subject to the limitations described in subparagraph (C)(ii) of this paragraph.

  (4) Aggregated load set-aside. Customers participating in customer choice may use aggregation to the extent they choose, and may participate by self aggregation or multiple customer aggregation. For purposes of pilot project administration, aggregators must submit to the utility their groupings of utility account numbers and associated zip codes, or ESIs if available, for participation in the pilot project subject to the 1.0% set-aside. Such groupings (hereafter referred to as aggregation packets) shall be submitted by customer class as defined in subsection (d) of this section with a listing of utility account numbers and associated zip codes.

Cont'd...

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