Ohio Proposes Revisions To Merchant Function Exit Rules
June 14,2018
The Public Utilities Commission of Ohio has issued proposed revisions to the rules governing the exit of the merchant function for natural gas distribution companies.
None of the changes appear substantive.
In an order issuing the proposed modifications for comment, PUCO said, "the Commission proposes some minor, non-substantive changes throughout the chapter that are intended to improve clarity, better align language with that used in the related statutory provisions, or correct typographical errors."
One notable modification, which appears to be the correction of an error, is the following language change:
Currently, OAC 4901:1-19-09 provides that, "A natural gas company that has an approved exit-the-merchant-function plan shall continue to supply default commodity sales service for choice-ineligible customers and PIPP-enrolled customers after the natural gas company's choice-eligible customers have been transferred to retail natural gas suppliers pursuant to the approved plan. Natural gas commodity for choice-eligible [sic] customers shall be procured by an auction or a public request for proposal." [emphasis added]
The proposed revision changes this reference concerning continued use of an auction to be for choice-ineligible customers, which is the apparent intent (and practice) of the current rule
The proposed revisions stated, "A natural gas company that has an approved exit-the-merchant-function plan shall continue to supply default commodity sales service for choice-ineligible customers and PIPP-enrolled customers after the natural gas company’s choice-eligible customers have been transferred to retail natural gas suppliers pursuant to the approved plan. Natural gas commodity for choice-ineligible customers and PIPP-enrolled customers shall be procured by an auction or a public request for proposal."