Sec. 16-245x. Monitoring and reporting by department of electric rates of each customer class. Action to minimize rate differential.
Sec. 16-245x. Monitoring and reporting by department of electric rates of each
customer class. Action to minimize rate differential. (a) The Department of Public
Utility Control shall, in consultation with the Office of Consumer Counsel, monitor on
an on-going basis the state of competition, as it exists and as it is likely to evolve, and
the average total rates of each customer class. Not later than January 1, 2002 and annually
thereafter, the department shall report its findings to the joint standing committee of the
General Assembly having cognizance of matters relating to energy.
(b) (1) As used in this subdivision, "total average residential rate" means the total
residential revenues divided by total residential kilowatt hour sales, and "total average
industrial rate" means the total industrial revenues divided by total industrial kilowatt
hour sales. At least annually, the department shall compute the rate differential for electric service between residential and industrial customers by comparing the total average
residential rate and the total average industrial rate, based on filings made by electric
suppliers and electric distribution companies with the Federal Energy Regulatory Commission or the department. The rate differential shall be the difference between the total
average residential rate and the total average industrial rates, divided by the total average
residential rate.
(2) If the department determines that the rate differential for electric service between
residential and industrial customers has increased by three percentage points or more
from the rate differential that existed on January 1, 1998, the department shall institute
an investigatory proceeding in which the Office of the Consumer Counsel shall participate. Not more than ninety days after the official commencement of the proceeding, the
department shall issue written findings that identify the factors or circumstances that
contributed to such increase in the rate differential. If the department finds that such
increase is a result of a violation of this title or of other state or federal laws, the department shall take appropriate enforcement action or refer such violation to the appropriate
state or federal authority. If the department finds that such increase is due to factors or
circumstances other than a violation of state or federal law, the department shall take
action in accordance with methods of allocation in effect on January 1, 1997, to minimize
to the greatest extent possible such differential to less than three percentage points,
within the authority granted to the department pursuant to section 16-7, subsection (a)
or (b) of section 16-8, section 16-8c, 16-9, 16-10, 16-10a, 16-15, 16-19, 16-19a, subsection (g) of section 16-19b, section 16-19e, 16-19f, 16-19gg, 16-19hh, 16-19kk, 16-20,
16-21, 16-24, 16-28, 16-32, 16-41, 16-244c 16-245, 16-245g or 16-245l, provided any
action taken by the department shall be in compliance with the principles set forth in
section 16-244, and provided further the department shall not allow inter or intra-class
rate subsidization.
(3) Not later than January first, as applicable, the department shall report its findings
described in subdivisions (1) and (2) of this subsection, including a description of the
factors or circumstances that contributed to such increase in the rate differential and a
description of actions taken by the department, along with any legislative recommendations to minimize such differential to less than three percentage points without creating
intra or inter class rate subsidization, to members of the joint standing committee of the
General Assembly having cognizance of matters relating to energy.
(c) Each electric distribution company shall submit, on a form prescribed by the
department, quarterly reports containing (1) the average price for electric service for
each customer class, and (2) separately within the residential class, the price for electric
service under the standard offer, as provided in subsection (a) of section 16-244c and
the price for default service, as provided in subsection (b) of said section 16-244c.
(d) The department shall require electric distribution companies and electric suppliers to supply to the department whatever pricing information the department needs to
complete its reporting and monitoring requirements under this section. The department
may grant confidential status to certain data if a valid claim is made that the information
is competitively sensitive, provided composite numbers shall be public information.
Any electric distribution company or electric supplier that fails to provide information
requested by the department more than thirty days after the department makes such
request shall be subject to enforcement measures under this title. The department may
adopt regulations pursuant to chapter 54 to implement the provisions of this subsection.
(P.A. 98-28, S. 75, 117.)
History: P.A. 98-28 effective July 1, 1998.