PSC-05-15-00003-P Whether to Grant, Deny or Modify in Whole or in Part the Petition of Consolidated Edison for Rehearing and Clarification

2/4/15 N.Y. St. Reg. PSC-05-15-00003-P

NEW YORK STATE REGISTER

VOLUME XXXVII, ISSUE 5

February 04, 2015

RULE MAKING ACTIVITIES

PUBLIC SERVICE COMMISSION

PROPOSED RULE MAKING

NO HEARING(S) SCHEDULED

 

I.D No. PSC-05-15-00003-P

Whether to Grant, Deny or Modify in Whole or in Part the Petition of Consolidated Edison for Rehearing and Clarification

PURSUANT TO THE PROVISIONS OF THE State Administrative Procedure Act, NOTICE is hereby given of the following proposed rule:

Proposed Action:

The Public Service Commission is considering whether to grant, deny or modify in whole or in part the petition of Consolidated Edison Company of New York, Inc. for rehearing and clarification of the Order issued December 12, 2014.

Statutory authority:

Public Service Law, sections 22, 65(1), 66(1), (2) and (12)(a)

Subject:

Whether to grant, deny or modify in whole or in part the petition of Consolidated Edison for rehearing and clarification.

Purpose:

Whether to grant, deny or modify in whole or in part the petition of Consolidated Edison for rehearing and clarification.

Substance of proposed rule:

The Public Service Commission(Commission) is considering whether to grant, deny or modify, in whole or part, the petition for rehearing and reconsideration of the Commission’s December 12, 2014 Order Establishing Brooklyn/Queens Demand Management Program (BQDM Program) filed by Consolidated Edison Company of New York, Inc. (Con Edison or the Company) on January 12, 2015.

Con Edison seeks rehearing on the linkage of the achievement of additional earnings in any given year from the BQDM Program and the Company’s performance under its Reliability Performance Mechanism (RPM). According to the Company, there is no record basis for the linkage nor its it discussed in the body of the Order and the linkage is unjustified and contrary to the advancement of the Commission’s goals articulated in the Reforming the Energy Vision (REV) proceeding (Case 14-M-0101).

The Company also seeks reconsideration or clarification of six other issues: 1) it requests that the Commission allow the Company to own or operate distributed energy resources and claims that customers often prefer to work with Con Edison to manage their energy use and to implement customer sided solutions; 2) it requests that the Commission clarify that the Company be allowed to consider the impacts of public open space or recreational space as one factor in its holistic evaluation of projects involving the City of New York, New York Power Authority and/or New York City Housing Authority; 3) it requests clarification of the details of the third-party oversight required in the Order, in particular, Company asks the Commission to determine that it is primarily responsible for selection of the projects, that the third-party and Staff review is focused on market power concerns, that the costs related to the independent third-party overseer should not be applied against the $200 million spending cap for the BQDM Program, and asks the Commission to clarify how the process would work if Staff disagrees with the Company’s project selections; 4) it requests clarification of the required benefit cost analysis (BCA) so that the Company need only submit semi-annual BCA reports commencing June 2015 and continuing until June 2018; 5) it requests clarification that the focus of the diversity index should be expanded to include direct customers as well as subcontractors, that the diversity index should serve to measure the diversity of technology offered, and that the Company and Staff should work together to modify the diversity index to address a technical fault that appears to award the full incentive so long as each vendor contributes the same proportion of megawatts; and, 6) it requests that the Commission clarify the limitations of its ownership of grid-based solutions so that commercial leases of real property are allowed and to clarify or reconsider the imposition of any limitations on its ownership of grid-based solutions. The Commission may also reconsider other aspects of the January 12, 2015 Order as a result of its reconsideration and rehearing of the issues raised by Con Edison in its petition.

Text of proposed rule and any required statements and analyses may be obtained by filing a Document Request Form (F-96) located on our website http://www.dps.ny.gov/f96dir.htm. For questions, contact:

Elaine Agresta, Public Service Commission, 3 Empire State Plaza, Albany, New York 12223-1350, [phone], email: [e-mail]

Data, views or arguments may be submitted to:

Kathleen H. Burgess, Secretary, Public Service Commission, 3 Empire State Plaza, Albany, New York 12223-1350, [phone], email: [e-mail]

Public comment will be received until:

45 days after publication of this notice.

Regulatory Impact Statement, Regulatory Flexibility Analysis, Rural Area Flexibility Analysis and Job Impact Statement

Statements and analyses are not submitted with this notice because the proposed rule is within the definition contained in section 102(2)(a)(ii) of the State Administrative Procedure Act.

(14-E-0302SP2)