State Briefs
News briefs from the states within the PJM footprint. This week we include Delaware, Illinois, Indiana, Michigan, New Jersey, North Carolina, Ohio, Pennsylvania and West Virginia.

DELAWARE
Lawmaker Proposes Study for Power Aggregation

Colin Bonini
Colin Bonini

A Delaware lawmaker included a proposal for an electricity aggregation study into the state’s capital budget this year in a move that could lead to lower electricity prices for local governments and their residents. The measure, penned by state Sen. Colin Bonini (R-Dover South), calls for the assessment of local conditions and a study of best practices in other states. Aggregation programs allow for large groups to buy power in blocks, with the idea that the group could negotiate a better deal than the standard offer from utilities. Delmarva Power & Light officials said they were studying the proposal.

More: The News Journal

ILLINOIS

Wisconsin Energy Promises Rate Freeze in Acquisition

we-energiesSourceWEWisconsin Energy is promising to freeze rates and guarantee jobs for at least two years in an attempt to convince the Illinois Commerce Commission to OK its proposed acquisition of Integrys Energy Group. Wisconsin Energy is trying to buy Integrys, parent company of Peoples Gas and North Shore Gas of Illinois. The company said if it obtained ICC approval, it would freeze rates for Illinois customers and keep the same number of Illinois employees – about 2,000 – for at least two years, in addition to honoring all labor contracts. The ICC is only one of several state and federal approvals necessary for the acquisition.

More: Milwaukee Business Journal

NRG to Cut Emissions at 4 Coal Plants

NRG Energy said it has a plan to cut emissions at four of its coal-fired stations in the state that would bring the state more than halfway toward meeting new Environmental Protection Agency-mandated emissions limits. The company said it would stop burning coal at one of its Romeoville plant units, convert its Joliet plant to burn natural gas and upgrade the Pekin and Waukegan plants with new emissions-control technology. About 250 jobs would also be cut. NRG said the plan would cut about 16 million tons of carbon dioxide emissions a year. The plan would cost about $567 million, the company said.

More: Chicago Tribune (subscription required)

INDIANA

$400K Grant to Fund Small Solar Projects

The Indiana Association for Community Economic Development received a $400,000 grant to help start up small solar energy projects in the Indiana Michigan Power service territory. The grant, which came from a legal settlement between American Electric Power and the U.S. Environmental Protection Agency, will be used to start Solar Uniting Neighbors (SUN). The economic development association said the grant would be enough to provide funding for 10 to 17 solar installations.

More: WANE TV

MICHIGAN

Solar, Wind Metering Growing

Small-scale solar- and wind-power installations in the state have increased their energy production by 18% since 2012, according to a Public Service Commission report. Since a state-mandated metering system went into effect in 2008, the state has seen 1,527 customers enter the net metering program.Under a net metering program, when customers produce more electric energy than they consume, the excess is sent back to the grid and the customer gets a credit. The PSC report noted that the number of net metering customers increased from 1,330 in 2012 to 1,527 in 2013.

More: Michigan Public Service Commission

NEW JERSEY

Environmentalists Urge State to Rejoin RGGI

RGGISourceRGGIClean energy and environmental advocates urged state officials to rejoin the Regional Greenhouse Gas Initiative during a court-ordered hearing last week. Two years after Gov. Chris Christie withdrew from the RGGI, a state appeals court ruled that the administration and the state Department of Environmental Protection didn’t follow the proper rules, and ordered a hearing to reconsider the move.

While it is unclear whether the court-ordered hearing would have an effect on the decision, many speakers took the opportunity to urge state leaders to rejoin the regional effort.Doug O’Malley, the director of Environment New Jersey, which filed the lawsuit along with the Natural Resources Defense Council, said he hoped the legislature would invalidate the repeal. “Gov. Christie is on the wrong side of public opinion on his decision to pull New Jersey out of this landmark climate program,” O’Malley said.

More: New Jersey Herald

State Consumer Agency Calls for More Protection

The state Division of Rate Counsel is again asking the Board of Public Utilities to tighten rules governing third-party energy suppliers. The consumer advocate’s efforts were spurred by a tough winter, skyrocketing energy prices and widespread accusations of misleading or fraudulent business practices.

Rate Counsel Director Stefanie Brand said her new petition was produced after consultation with the Retail Energy Suppliers Association. “The most important improvement is increased disclosure, in clear and plain language, of all contract terms,’’ one part of the petition explains.

Some of the proposed rules mirror those being considered in the state legislature.

More: NJ Spotlight

Fishermen’s Energy Goes Forward with DOE Funds

fishermensenergySourceFishermensenergyWind energy developer Fishermen’s Energy signed an agreement with the Department of Energy last week, giving it access to almost $47 million to develop a 25-MW wind project off Atlantic City. The project seems to be going forward, even though the New Jersey Board of Public Utilities has denied it ratepayer subsidies and said the project is too expensive and risky. Fishermen’s is appealing that ruling.

One of the terms of the DOE grant is that the project have a customer for its energy one year from now. But the developers are optimistic. “Our goal here in Atlantic City is to build a commercially operational wind farm that demonstrates job creation and specifically to show that these types of projects create benefits that far exceed their costs,” said Chris Wissemann, Fishermen’s CEO.

More: Recharge

NORTH CAROLINA

Study: New State Policies Could Boost Solar

While North Carolina ranks fourth in the nation for overall solar capacity, it is only 10th per capita, behind cloudier states such as New Jersey and Massachusetts, according to a report by an environmental group calling for more solar-friendly state policies.

Environment North Carolina said the state has benefited from the rise of large-scale solar farms but lagged in residential and commercial rooftop systems. The report recommends the state enable third-party sales of electricity, improve net metering laws and expand renewable energy standards.

More: Environment North Carolina

OHIO

State to see 1,000th Utica Shale Well

The state Department of Natural Resources said the 1,000th Utica Shale well will be drilled as early as this week. Through last week 997 horizontal wells had been drilled out of 1,428 permits issued since the shale boom started in 2010.

More: Columbus Business First

Net Metering Case Headed to High Court

OhioSupremeCourtSourceOHIOThe Ohio Supreme Court will be called on to determine how much net metering customers should be paid for electricity they feed back into the grid in a case pitting the Public Utility Commission of Ohio against several large utilities.

PUCO ruled recently that net metering customers are entitled to full value of the electricity, including capacity. FirstEnergy and American Electric Power have argued that their compensation should be based only on the energy portion of their bills. AEP appealed PUCO’s latest ruling, in July, to the state Supreme Court.

More: Midwest Energy News

PENNSYLVANIA

PUC Ponders Limits on Solar Net Metering

The Public Utility Commission is considering a rule that would limit the amount of solar energy customers can sell back to the grid. “By customer-generators producing more electricity and selling it back to the grid and the utility, this could actually be passed through and affect the rates for other customers,” PUC spokeswoman Robin Tilley said. The proposed rule would limit energy production for households and businesses to 110% of annual consumption. The solar industry opposes the rule.

More: WHYY

WEST VIRGINIA

Chesapeake Energy Eyes Shale Fields

CHK_3C_logo.epsState Department of Environmental Protection filings show that Chesapeake Energy, one of the largest shale gas energy players in the Midwest, is looking at the state as its next gas frontier. Chesapeake was one of the first companies to start drilling into Ohio’s Utica Shale Field. The Point Pleasant formation, in West Virginia, could be the scene of the next rush for shale gas production. State Department of Environmental Protection files show that Chesapeake is outlining plans to drill wells in the Point Pleasant formation.

More: Columbus Business Journal

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