STATE
OF MAINE
PUBLIC UTILITIES COMMISSION Docket No. 2002-272
May
31, 2002
MAINE PUBLIC UTILITIES COMMISSION
Inquiry
into Procedures to Govern Selection
Of
Conservation Service Providers and
Rulemaking
Definitions of Low-Income
Residential
Consumers and Small Business
Consumers
NOTICE OF INQUIRY
WELCH, Chairman; NUGENT and DIAMOND, Commissioners
In this Notice, we initiate an
inquiry to obtain information on the competitive bid process that the
Commission should implement to select providers of energy conservation
services. We also seek information on
how the Commission should define “low-income residential consumers” and “small
business consumers” for conservation program purposes. The rule promulgated on these issues will be
effective for the Commission’s long term conservation plan but will not be used
when choosing interim programs.
II. BACKGROUND
P.L. 2001, ch. 624 (the Conservation
Act) directs the Commission to develop and implement electric energy
conservation programs that are consistent with the goals and objectives of an
overall energy conservation program strategy that the Commission must
establish. The programs must be cost
effective, according to a definition that the Commission also must establish.
The Commission may arrange delivery
of conservation programs by contracting with service providers. 35-A M.R.S.A. § 3211-A(3). In the Conservation Act, “service provider”
Means a public or private provider of energy conservation services or an
entity selected by the commission to contract with such providers or otherwise
arrange the delivery of conservation programs.
35-A M.R.S.A. § 3211-A(1)(G).
The
Act directs the Commission to select service providers through a competitive
bid process. 35-A M.R.S.A. § 3211-A(3)(A). Subsection 3211-A(3)(C) describes
circumstances when the Commission may select service providers without a
competitive bid process. While the
Commission is not subject to rules adopted by the State Purchasing Agent in
selecting service providers, we must adopt our own rule establishing procedures
governing the selection of service providers.
35-A M.R.S.A. § 3211-A(3).
The Conservation Act directs the
Commission to target at least 20% of available funds to programs for low-income
residential consumers and at least 20% of available funds to programs for small
business consumers. The Act requires
the Commission to define the terms “low-income residential consumers” and
“small business consumers” by rule.
III. ISSUES FOR COMMENT
A. Service
Provider Selection
Before we initiate a rulemaking to promulgate a rule
establishing procedures to select service providers, we invite interested
persons to respond to the following questions.
Responses to these questions will assist the Commission in drafting a
proposed rule. In addition, persons may
comment generally on the content and scope of service provider bidding
provisions, or on any relevant issue not covered in response to the questions:
1. Please provide an outline of provisions
that should govern the bidding and selection processes for conservation program
service providers. Include a short
description of each provision and an explanation of its purpose. Commenters may submit an outline of only a
subset of the provisions to be adopted.
2. Our experience in conducting bid
processes for standard offer providers led us to amend chapter
301 to allow the Commission more flexibility in defining acceptable bids and in
selecting winning bids. See Order
Adopting Rule, Docket No. 2000-489 (August 16, 2000). Please comment on the degree to which the
rule should establish bid criteria or should leave bid criteria to be set by
the Commission in each Request for Bids (RFBs). In what specific areas should the Commission be afforded
flexibility?
3. Is
it desirable or practical to objectively select bids based solely on the lowest
price? To select bids based solely on
some other objective standard or fixed “objective criteria” formula? If objective selection criteria are not
desirable or practical, what subjective selection criteria should be
established?
4.
Should affiliates of T&D utilities be permitted to bid to become
service providers in the T&D service territory? Describe any restrictions or codes of conduct that should be
applied to any T&D affiliate.
B. Definitions of Low-Income Residential and Small Business
Consumers
Before we initiate a
rulemaking to define these terms, we invite interested persons to respond to
the following questions.
1. Should the Commission’s definition for low-income be the
same as the LIHEAP criteria? Do all the
low-income programs that the Maine State Housing Authority (MSHA) and the
Community Action Program (CAP) agencies administer define low-income
identically? If not, please describe
each definition and the reasons for the differences.
2.
Should the Commission’s definitions of low-income be independently
derived? If so, please state your
preferred definition and the reasons the Commission should adopt it.
3.
Should the Commission define “small business consumer” as a member of
each utility’s small non-residential standard offer class? Please explain your answer.
4.
Should the Commission define “small business consumer” so that the
definition is identical throughout the State?
Please provide your reasons.
5.
Please provide any other suggested definition, and the reasons the
Commission should adopt it.
Interested
persons may participate in this Inquiry by filing a letter stating their
interest in this proceeding no later than June 10. The letter should be addressed to Dennis L. Keschl,
Administrative Director, and include the docket number. The Commission will then issue a service
list. Interested persons may file
substantive comments by June 20. All
comments filed in this docket can be obtained through the Commission’s virtual
case file, accessible on www.state.me.us/mpuc.
We will convene a meeting with the parties on June 26 at 1:00 p.m. to
discuss the comments received. We will
initiate a formal rulemaking soon thereafter.
Accordingly, we
O R D E R
1. That an
inquiry shall be opened as described in the body of this Notice;
2. That this
Notice shall be sent to all T&D utilities in the State of Maine;
3. That this
Notice shall be sent to the service list in Docket Nos. 2002-161 and 2002-162;
and
4. That this
Notice of Inquiry shall be posted on the Commission’s website,
http://www.state.me.us/mpuc.
Dated at Augusta, Maine,
this 31st day of May, 2002.
BY ORDER OF THE COMMISSION
_______________________________
Dennis L. Keschl
Administrative Director
COMMISSIONERS VOTING FOR: Welch
Nugent
Diamond
NOTICE
OF RIGHTS TO REVIEW OR APPEAL
5 M.R.S.A. § 9061 requires the Public Utilities
Commission to give each party to an adjudicatory proceeding written notice of
the party's rights to review or appeal of its decision made at the conclusion
of the adjudicatory proceeding. The
methods of review or appeal of PUC decisions at the conclusion of an
adjudicatory proceeding are as follows:
1. Reconsideration
of the Commission's Order may be requested under Section 1004 of the
Commission's Rules of Practice and Procedure (65-407 C.M.R.110) within 20 days
of the date of the Order by filing a petition with the Commission stating the
grounds upon which reconsideration is sought.
2. Appeal
of a final decision of the Commission may be taken to the Law Court by
filing, within 21 days of the date of the Order, a Notice of Appeal with
the Administrative Director of the Commission, pursuant to 35-A M.R.S.A. §
1320(1)-(4) and the Maine Rules of Appellate Procedure.
3. Additional
court review of constitutional issues or issues involving the justness or
reasonableness of rates may be had by the filing of an appeal with the Law
Court, pursuant to 35-A M.R.S.A. § 1320(5).
Note: The attachment
of this Notice to a document does not indicate the Commission's view that the
particular document may be subject to review or appeal. Similarly, the failure of the Commission to
attach a copy of this Notice to a document does not indicate the Commission's
view that the document is not subject to review or appeal.