Electric Rates Drop to ‘Near Historic Lows’
The Public Utilities Regulatory Authority approved “near historic” low rates starting July 1 for the standard offers from the state’s two electric utilities, thanks to depressed natural gas prices.
The standard rate for Eversource Energy customers will drop from the current 9.555 cents/kWh to 6.606 cents. United Illuminating customers will see their standard rate decrease from 10.7358/kWh to 8.0224 cents.
Dave Thompson, a utilities examiner with the state Office of Consumer Counsel, said utility industry officials “haven’t seen prices like this since 2003-04.”
More: Hartford Courant
MAINE
City Gives Key Approval For Solar Project
The developers of what would be the state’s largest solar energy farm won vital support from the city of Sanford, where it will be built on vacant land at the municipal airport.
The Sanford City Council authorized a lease allowing Ranger Solar to build a 50-MW photovoltaic array on 226 acres. Ranger intends to start construction in 2018. The project will include 176,000 solar panels.
Ranger estimates that the project will add $29 million in taxable investment to the city, as well as millions of dollars in rent if the lease is extended to the maximum 40-year term stipulated in the agreement. The project still requires environmental permitting from the state and an interconnection agreement with ISO-NE.
More: Portland Press Herald
MASSACHUSETTS
Bill to Mandate Offshore Wind Purchases Coming Soon
Legislators will introduce a bill as soon as this month that will require utilities to purchase energy from offshore wind farms, according to Bloomberg News.
Wind developers are pushing for a mandate for utilities to buy 2,000 MW over 10 years. Proponents have said such a guaranteed market would spark an offshore wind-building boom. Three wind development companies have secured federal offshore leases near Martha’s Vineyard: DONG Energy, Deepwater Wind and Offshore MW.
“We have the opportunity to create an industry,” Sen. Marc R. Pacheco said. “We have the opportunity to create thousands of jobs and create a whole supply chain.”
More: Bloomberg
NEW HAMPSHIRE
New Net Metering Cap Almost Filled Already
Gov. Maggie Hassan recently signed a bill setting a new net metering cap in the state, and the available capacity for larger projects is already nearly consumed.
The law allocates about 40 MW to smaller projects for homes and businesses and 10 MW for larger projects. Eversource Energy, which was allocated 7.8 MW, already has a waiting list of 7.2 MW worth of projects and another 7.8 MW still in development.
More: New Hampshire Business Review
NEW JERSEY
Christie Vetoes Offshore Wind Energy Bill Again
For the second time, Gov. Chris Christie has vetoed a bill that would have paved the way for Fishermen’s Energy to build a 25-MW offshore wind farm near Atlantic City.
Although the project received a $47 million grant from the U.S. Department of Energy, Christie and the Board of Public Utilities have criticized the project as too costly for customers, who would help fund the project through bill surcharges. Christie also argued that the bill “would usurp BPU’s authority” and strip its discretion for “managing energy matters.”
Christie signed a bill six years ago mandating offshore wind with a goal of developing 1,000 MW by 2020, but the BPU never created a funding mechanism that would make such projects economically feasible.
More: NJ Spotlight
Trust Fund Would Stimulate Clean Energy Technology
The Senate is considering a proposal that would provide loans and loan guarantees to stimulate the clean energy sector.
The bill, S-684, would finance a trust fund through raising an existing surcharge on customers’ bills, called the “societal benefits charge.” That has raised concerns with the business community and the Division of Rate Counsel.
The fund would target investments in clean energy research, promote manufacturing for new and existing technologies and support the development of a clean energy curriculum at universities.
More: NJ Spotlight
NORTH CAROLINA
Duke Asks Plant Foes To Post $50 Million Bond
Duke Energy Progress is asking state regulators to require opponents of a new power plant near Asheville to put up a $50 million bond if they appeal regulatory approvals. The company said that delays would drive up construction costs by as much as $140 million.
Environmental groups say that amount is just to prevent them from taking appeals to court. “We aren’t asking them to delay anything,” said Jim Warren, executive director of NC WARN. The groups said an appropriate bond would only be $250.
Duke called that “absurd,” saying the company’s customers needed adequate protection from potential construction delays for a $1 billion project. Duke wants to start construction in October.
More: Charlotte Business Journal
OKLAHOMA
OG&E Admits Including Legal Fees, Lobbying in Rates
Oklahoma Gas & Electric acknowledged that the company’s customers have been paying the legal fees for shareholders of the utility’s parent company for the past 11 years and agreed to reduce its rate-increase request.
As hearings opened before the Corporation Commission on OG&E’s $92.5 million rate case, a company witness acknowledged the utility had improperly included the legal fees for the OG&E Shareholders Association in customer rates. The issue came to light after an audit by the commission’s public utility division and questions by the attorney general’s office, which represents ratepayers in utility cases.
The utility has agreed to lower its rate request by about $275,000 to reflect the incorrect allocation. It also agreed to reduce it another $20,000 for “legislative activities” that should have been paid by parent OGE Energy instead of ratepayers.
More: The Oklahoman
PENNSYLVANIA
Wolf Nominates Adviser to PUC
Gov. Tom Wolf has nominated senior adviser David Sweet to serve on the Public Utility Commission.
Sweet, a Democrat, was a state representative from 1977 to 1988 and has advised Wolf on energy and economic development matters since April.
He also has served on the Banking and Securities Commission and as a liaison to the Philadelphia Regional Port Authority. Sweet will need to be confirmed by the Senate.
More: The Tribune-Review
TEXAS
Majority of Residents Want CPP Compliance Plan Developed
State residents believe their leaders should draw up a plan to shift from coal-fired power to natural gas and renewables, even if the state wins a high-profile battle against the federal Clean Power Plan, according to a new poll.
Two Republican pollsters developed and conducted the survey of more than 800 registered voters on behalf of the Texas Clean Energy Coalition, a group that supports natural gas, solar and wind energy. It offers insight into residents’ views on energy policy and a test of how public opinion compares to the rhetoric of politicians on the issue.
Among the findings, 85% (including 81% of Republicans) believe the state should develop its own comprehensive clean energy plan, regardless of the outcome of a lawsuit over the Clean Power Plan, and 69% believe their leaders should construct a proposal to comply in case the state loses its court battle.
More: The Texas Tribune
VERMONT
Siting Bill Approved by Senate Now Stuck in House
The Senate last week approved a modified version of a bill giving towns more say over renewable energy projects, but action by the House of Representatives is uncertain.
Rep. Tony Klein, a Democrat and chairman of the House Natural Resources and Energy Committee, said he wanted the attorney general’s office to weigh in before agreeing with Senate language on regulating sound from wind towers.
The Senate version of the bill calls for the Public Service Board to issue new rules on noise levels by July 1, 2017.
More: Burlington Free Press
VIRGINIA
Appalachian Power Developing 100% Renewable Offering
Appalachian Power has informed the State Corporation Commission that it is developing a pure alternative energy rate for its customers. It said it has seen a higher demand for renewable energy from its customers and is seeking a way to offer a 100% renewable product.
The company said it is seeking more sources of renewable energy to be able to provide a rate that will reflect the use of renewables around the clock.
“We do know that it will be set up as an annual review situation where we’ll look at the cost every year and adjust the cost to the customer every year,” said John Shepelwich, a company spokesman.
More: WDBJ7
Dominion Customers Could See Lower Summer Rates
Dominion Virginia Power has submitted a fuel rate proposal to the State Corporation Commission that would lower bills for customers this summer.
The proposed reduction would decrease a typical residential bill by $4.35, or 3.8%.
If approved, the new rate will go into effect July 1.
More: PennEnergy
WEST VIRGINIA
Citizen Groups Criticize Mon Power, Potomac Edison IRP
Critics are calling an integrated resource plan put forth by FirstEnergy utilities Mon Power and Potomac Edison “a thinly disguised attempt to pave the way” to buy a coal-fired power plant from an affiliated company, Allegheny Energy.
Two citizen groups are urging the Public Service Commission to force the utilities to rewrite the plan, saying the cost of the purchase would fall to customers.
More: The DPost.com