| (4) A VREP may file a request at any time to be removed
from the VREP list or to modify the number of ESI IDs that it is willing
to serve as a VREP. If the request is to increase the number of ESI
IDs, it must provide information to demonstrate that it is capable
of serving the additional ESI IDs, and the commission staff will make
an initial determination, which is subject to an appeal to the commission,
in accordance with the timelines specified in paragraph (3) of this
subsection. If the request is to decrease the number of ESI IDs, the
request must be effective five calendar days after the request is
filed with the commission; however, after the request becomes effective
the VREP must continue to serve ESI IDs previously acquired through
a mass transition event as well as ESI IDs the VREP acquires from
a mass transition event that occurs during the five-day notice period.
If in a mass transition a VREP is able to acquire more customers than
it originally volunteered to serve, the VREP may work with commission
staff and ERCOT to increase its designation. Changes approved by commission
staff will be communicated to ERCOT and must be implemented for the
current allocation if possible.
(5) ERCOT or a TDU may challenge a VREP's eligibility.
If ERCOT or a TDU has reason to believe that a REP is no longer capable
of performing VREP responsibilities, ERCOT or the TDU must make a
filing with the commission detailing the basis for its concerns and
must provide a copy of the filing to the REP that is the subject of
the filing. If the filing contains confidential information, ERCOT
or the TDU must file it in accordance with §25.71 of this title
(relating to General Procedures, Requirements and Penalties). Commission
staff will review the filing of ERCOT and if commission staff concludes
that the REP should no longer provide VREP service, it will request
that the REP demonstrate that it still meets the qualifications to
provide the service. The commission staff may initiate a proceeding
with the commission to disqualify the REP from providing VREP service.
No ESI IDs will be assigned to a VREP after the commission staff initiates
a proceeding to disqualify the VREP, unless the commission by order
confirms the VREP's designation.
(j) LSPs. This subsection governs the selection and
service of REPs as LSPs.
(1) The REPs eligible to serve as LSPs must be determined
based on the information provided by REPs in accordance with subsection
(h) of this section. However, for new TDU service areas that are transitioned
to competition, the transition to competition plan approved by the
commission may govern the selection of LSPs to serve as POLR providers.
(2) In each POLR area, for each customer class, the
commission will designate up to 15 LSPs. The eligible REPs that have
the greatest market share based upon retail sales in megawatt-hours,
by customer class and POLR area must be designated as LSPs. Commission
staff will designate the LSPs by October 15th of each even-numbered
year, based upon the data submitted to the commission under subsection
(h) of this section. Designation as a VREP does not affect a REP's
eligibility to also serve as an LSP.
(3) For the purpose of calculating the POLR rate for
each customer class in each POLR area, an EFL must be completed by
the LSP that has the greatest market share in accordance with paragraph
(2) of this subsection. The Electricity Facts Label (EFL) must be
supplied to commission staff electronically for placement on the commission
webpage by the 10th of each month. Where REP-specific information
is required to be inserted in the EFL, the LSP supplying the EFL must
note that such information is REP-specific.
(4) An LSP serving transitioned residential and small
non-residential customers under a rate prescribed by subsection (m)(2)
of this section must move such customers to a market-based month-to-month
product, with pricing for such product to be effective no later than
either the 61st day of service by the LSP or beginning with the customer's
next billing cycle date following the 60th day of service by the LSP.
For each transition event, all such transitioned customers in the
same class and POLR area must be served pursuant to the same product
terms, except for those customers specified in subparagraph (B) of
this paragraph.
(A) The notice required by §25.475(d) of this
title to inform the customers of the change to a market-based month-to-month
product may be included with the notice required by subsection (t)(3)
of this section or may be provided 14 days in advance of the change.
If the §25.475(d) notice is included with the notice required
by subsection (t)(3) of this section, the LSP may state that either
or both the terms of service document and EFL for the market-based
month-to-month product will be provided at a later time, but no later
than 14 days before their effective date.
(B) The LSP is not required to transfer to a market-based
product any transitioned customer who is delinquent in payment of
any charges for POLR service to such LSP as of the 60th day of service.
If such a customer becomes current in payments to the LSP, the LSP
must move the customer to a market-based month-to-month product as
described in this paragraph on the next billing cycle that occurs
five business days after the customer becomes current. If the LSP
does not plan to move customers who are delinquent in payment of any
charges for POLR service as of the 60th day of service to a market-based
month-to-month product, the LSP must inform the customer of that potential
outcome in the notice provided to comply with §25.475(d) of this
title.
(5) Upon a request from an LSP and a showing that the
LSP will be unable to maintain its financial integrity if additional
customers are transferred to it under this section, the commission
may relieve an LSP from a transfer of additional customers. The LSP
must continue providing continuous service until the commission issues
an order relieving it of this responsibility. In the event the requesting
LSP is relieved of its responsibility, the commission staff designee
will, with 90 days' notice, designate the next eligible REP, if any,
as an LSP, based upon the criteria in this subsection.
(k) Designation of an LSP affiliate to provide POLR
service on behalf of an LSP.
(1) An LSP may request the commission designate an
LSP affiliate to provide POLR service on behalf of the LSP either
with the LSP's filing under subsection (h) of this section or as a
separate filing in the current term project. The filing must be made
at least 30 days prior to the date when the LSP affiliate is to begin
providing POLR service on behalf of the LSP. To be eligible to provide
POLR service on behalf of an LSP, the LSP affiliate must be certificated
to provide retail electric service; have an executed delivery service
agreement with the service area TDU; and meet the requirements of
subsection (h)(2) of this section, with the exception of subsection
(h)(2)(B), (C), (D), and (E) of this section as related to serving
customers in the applicable customer class.
(2) The request must include the name and certificate
number of the LSP affiliate, information demonstrating the affiliation
between the LSP and the LSP affiliate, and a certified agreement from
an officer of the LSP affiliate stating that the LSP affiliate agrees
to provide POLR service on behalf of the LSP. The request must also
include an affidavit from an officer of the LSP stating that the LSP
will be responsible and indemnify any affected parties for all financial
obligations of the LSP affiliate associated with the provisioning
of POLR service on behalf of the LSP in the event that the LSP affiliate
defaults or otherwise does not fulfill such financial obligations.
(3) Commission staff will make an initial determination
of the eligibility of the LSP affiliate to provide POLR service on
behalf of an LSP and publish their names. The LSP or LSP affiliate
may challenge commission staff's eligibility determination within
five business days of the notice of eligibility by submitting to commission
staff additional evidence of its capability to provide POLR service
on behalf of the LSP. Commission staff will reassess the LSP affiliate's
eligibility and notify the LSP and LSP affiliate of any change in
eligibility status within 10 business days of the receipt of the additional
documentation. If the LSP or LSP affiliate does not agree with staff's
determination of eligibility, either or both may then appeal the determination
to the commission through a contested case. The LSP must provide POLR
service during the pendency of the contested case.
(4) ERCOT or a TDU may challenge an LSP affiliate's
eligibility to provide POLR service on behalf of an LSP. If ERCOT
or a TDU has reason to believe that an LSP affiliate is not eligible
or is not performing POLR responsibilities on behalf of an LSP, ERCOT
or the TDU must make a filing with the commission detailing the basis
for its concerns and must provide a copy of the filing to the LSP
and the LSP affiliate that are the subject of the filing. If the filing
contains confidential information, ERCOT or the TDU must file it in
accordance with §25.71 of this title (relating to General Procedures,
Requirements and Penalties). Commission staff will review the filing
and if commission staff concludes that the LSP affiliate should not
be allowed to provide POLR Cont'd... |
