Sec. 16a-3b. Implementation of the procurement plan.
Sec. 16a-3b. Implementation of the procurement plan. (a) The Department of
Public Utility Control shall oversee the implementation of the procurement plan approved by the Department of Public Utility Control pursuant to section 16a-3a. The
electric distribution companies shall implement the demand-side measures, including,
but not limited to, energy efficiency, load management, demand response, combined
heat and power facilities, distributed generation and other emerging energy technologies, specified in said procurement plan through the comprehensive conservation and
load management plan prepared pursuant to section 16-245m for review by the Energy
Conservation Management Board. The electric distribution companies shall submit proposals to appropriate regulatory agencies to address transmission and distribution upgrades as specified in said procurement plan.
(b) If the procurement plan specifies the construction of a generating facility, the
department shall develop and issue a request for proposals, shall publish such request
for proposals in one or more newspapers or periodicals, as selected by the department,
and shall post such request for proposals on its web site. Pursuant to a nondisclosure
agreement, the department shall make available to the Office of Consumer Counsel
and the Attorney General all confidential bid information it receives pursuant to this
subsection, provided the bids and any analysis of such bids shall not be subject to disclosure under the Freedom of Information Act. Three months after the department issues
a final decision, it shall make available all financial bid information, provided such
information regarding the bidders not selected be presented in a manner that conceals
the identities of such bidders.
(1) On and after July 1, 2008, an electric distribution company may submit proposals
in response to a request for proposals on the same basis as other respondents to the
solicitation. A proposal submitted by an electric distribution company shall include its
full projected costs such that any project costs recovered from or defrayed by ratepayers
are included in the projected costs. An electric distribution company submitting any such
bid shall demonstrate to the satisfaction of the department that its bid is not supported in
any form of cross subsidization by affiliated entities. If the department approves such
electric distribution company's proposal, the costs and revenues of such proposal shall
not be included in calculating such company's earning for purposes of, or in determining
whether its rates are just and reasonable under, sections 16-19, 16-19a and 16-19e. An
electric distribution company shall not recover more than the full costs identified in any
approved proposal. Affiliates of the electric distribution company may submit proposals
pursuant to section 16-244h, regulations adopted pursuant to section 16-244h and other
requirements the department may impose.
(2) If the department selects a nonelectric distribution company proposal, an electric
distribution company shall, within thirty days of the selection of a proposal by the department, negotiate in good faith the final terms of a contract with a generating facility and
shall apply to the department for approval of such contract. Upon department approval,
the electric distribution company shall enter into such contract.
(3) The department shall determine the appropriate manner of cost recovery for
proposals selected pursuant to this section.
(4) The department may retain the services of a third-party entity with expertise in
the area of energy procurement to oversee the development of the request for proposals
and to assist the department in its approval of proposals pursuant to this section. The
reasonable and proper expenses for retaining such third-party entity shall be recoverable
through the generation services charge.
(c) The electric distribution companies shall issue requests for proposals to acquire
any other resource needs not identified in subsection (a) or (b) of this section but specified
in the procurement plan approved by the Department of Public Utility Control pursuant
to section 16a-3a. Such requests for proposals shall be subject to approval by the department.
(P.A. 07-242, S. 52.)
History: P.A. 07-242 effective June 4, 2007.