Press Release

PUC Approves Settlement for Duquesne Light Default Service Plan

Published on 5/20/2010

Filed under: Electric

HARRISBURG – The Pennsylvania Public Utility Commission (PUC) today approved a settlement for a default service plan for Duquesne Light Co.

The Commission voted 3-1 to approve a motion by Commissioner Robert F. Powelson that approves the default service plan settlement and removes some barriers to competition. Chairman James H. Cawley issued a statement. Vice Chairman Tyrone J. Christy issued a statement. Commissioner Wayne E. Gardner issued a dissenting statement.

The default service plan is the plan for the utility to acquire power for those customers who choose not to use a competitive supplier for the generation portion of their bill. The settlement was reached among the parties in the case including the company, the state’s Office of Consumer Advocate, the PUC Office of Trial Staff, the Office of Small Business Advocate and other formal complainants.

The default service plan covers service from Jan. 1, 2011, through May 31, 2013, and includes steps to obtain least cost generation supply on a long-term, short-term and spot market basis.

The 1997 Electricity Generation Choice and Competition Act required electric companies, or a Commission-approved competitive supplier, to provide electric generation service to customers who have not selected a competitive generation supplier. 

The Commission’s role is to ensure that the process utilities use to establish the default service electricity generation prices achieves the least cost to consumers over the long term. The generation prices are not set by the PUC, but are based on wholesale market, over which the PUC exercises no jurisdiction.

 The Pennsylvania Public Utility Commission balances the needs of consumers and utilities to ensure safe and reliable utility service at reasonable rates; protect the public interest; educate consumers to make independent and informed utility choices; further economic development; and foster new technologies and competitive markets in an environmentally sound manner. For recent news releases, audio of select Commission proceedings or more information about the PUC, visit our website at www.puc.state.pa.us.

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Docket No. P-2009-2135500

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