Drift Marketplace, Inc. filed comments with the New York PSC supporting recommendations in a DPS Staff July 26 Community Distributed Generation (CDG) whitepaper on CDG compensation to increase and/or amend the Market Transition Credits (MTC) for qualifying Community Distributed Generation projects, as well as exploration of MTC alternatives (including market-based alternatives)

Drift supports reallocating remaining capacity from previously authorized CDG tranches to new tranches and/or enhancing the Market Transition Credit (“MTC”) incentive amount where appropriate.

According to Drift, Staff’s specific recommendations include: (1) For NYSEG, RG&E, and National Grid, remaining capacity within each territory should be reallocated and divided between two new Tranches, Tranche 5 and 6, with enhanced MTC values of 3¢/kWh for Tranche 5 and 2.5¢/kWh for Tranche 6; (2) For Con Edison, all three existing Tranches should have enhanced MTC values (increase the MTC of Tranche 1 to 14.35¢/kWh, Tranche 2 to 10.54¢/kWh, and Tranche 3: 9.29¢/kWh; and (3) For O&R and Central Hudson, that new CDG projects should receive an additional up-front incentive.

"Drift also supports Staff and Commission efforts to identify alternatives to creating additional MTC compensation tranches for community distributed generation. In fact, Drift strongly believes that without support for a market that encourages new market entrants and includes significant changes to the utility model status quo, it is unlikely that the targets set forth by the Commission and under REV will be met. It is unrealistic and unfair to expect utilities optimally perform both as Providers of Last Resort required to ensure ‘just and reasonable rates’ and innovative start-ups developing new products," Drift said in its comments

Case 15-E-0751 et al