Press Release

PUC Approves PPL Pilot Time-of-Use Program

Published on 9/11/2014

Filed under: Electric

HARRISBURG – The Pennsylvania Public Utility Commission (PUC) today approved a pilot time-of-use (TOU) program proposed by PPL Electric Utilities (PPL) which will replace the current TOU rates.

The Commission voted 5-0 to approve the pilot TOU program, which will become effective Dec. 10, 2014, 90 days after the Commission’s Final Order.

PPL filed a petition in May 2012 for approval of a default service program (DSP) that included a new TOU program. The TOU program was not approved with the rest of the petition for DSP. The Commission directed PPL to collaborate with interested stakeholders to resolve any issues regarding the development and implementation of the program, and to file a new TOU rate proposal by Aug. 23, 2013, which the company did.

Under the approved program, PPL will provide a TOU rate option to customers in its tariff, but it will rely on the retail market and participating electric generation suppliers (EGSs) to provide actual TOU service to its customers.

TOU rate options offered by participating EGSs will consist of a rate that varies with time of use, but not as frequently as each hour, and includes off-peak and on-peak periods. Rates during off-peak periods will be lower than on-peak rates. Off-peak hours cannot include the hours of 2:00 to 6:00 p.m. on weekdays in June, July and August.

EGSs who wish to participate in the program must first qualify by being licensed by the Commission with authority to provide service to residential and/or small commercial and industrial customers in PPL’s service territory. Participating EGSs must provide a TOU rate option to these customers, from the initiation of the program until May 31, 2015, which coincides with the end of PPL’s current default service plan. EGSs must also create and maintain a webpage that will be cross-referenced by PPL on its TOU webpage, which provides details about the available TOU rate options offered for the current quarter.

Customer participation in the pilot TOU program is voluntary. All residential, small commercial and industrial customers will be eligible to participate, except those in PPL’s low-income customer assistance program. PPL’s current TOU program will no longer be available to new applicants as of the effective date of the new program.

The PUC balances the needs of consumers and utilities; ensures safe and reliable utility service at reasonable rates; protects the public interest; educates consumers to make independent and informed utility choices; furthers economic development; and fosters new technologies and competitive markets in an environmentally sound manner.

For recent news releases and video of select Commission proceedings or more information about the PUC, visit our website at www.puc.pa.gov. Follow the PUC on Twitter – @PA_PUC for all things utility. “Like” PAPowerSwitch on Facebook for easy access to information on electric shopping.

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Docket Nos. P-2013-2389572, P-2012-2302074

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