Section 69.1811. Rate change mitigation

(a) The following provision should apply when a DSP’s total retail rate for a customer class rises by more than 25% following the expiration of a generation rate cap due to wholesale energy prices. When that occurs, DSPs should offer all residential and small business customers of up to 25 kW in maximum registered peak load the opportunity to prepay or defer some portion of the rate increase for as long as 3 years. These competitively neutral mitigation options should be included in the default service program filed for the period that begins with the expiration of the Commission-approved generation rate cap. Customers may not be assigned to a rate increase prepay or deferral program without their affirmative consent. DSPs would be able to fully recover the reasonable carrying costs associated with a rate increase deferral program, including associated administrative costs.

(b) DSPs may propose other reasonable rate mitigation strategies that would reflect the incurrence of reasonable costs.

The provisions of this § 69.1811 adopted September 14, 2007, effective September 15, 2007, 37 Pa.B. 5019.

Notation

Cross References

This section cited in 52 Pa. Code § 69.1801 (relating to scope); 52 Pa. Code § 69.1802 (relating to purpose); and 52 Pa. Code § 69.1803 (relating to definitions).