DE 98-124
GAS RESTRUCTURING
Unbundling and Competition in the Gas Industry
Order Approving Methodology For Developing a Record
O R D E R N O. 23,018
September 14, 1998
APPEARANCES: McLane, Graf, Raulerson & Middleton by
Steven Camerino, Esq. for EnergyNorth Natural Gas, Inc.; LeBoeuf,
Lamb, Greene & MacRae, L.L.P by Meabh Purcell, Esq. for Northern
Utilities Inc.; Ransmeier & Spellman by Dom S. D'Ambruoso, Esq.
for New Hampshire Gas Corporation & New York State Electric & Gas
Corporation; Office of the Consumer Advocate, by William Homeyer,
Esq.; and, Gary Epler, Esq. for the Staff of the New Hampshire
Public Utilities Commission.
I. PROCEDURAL HISTORY
On July 8, 1998, the Commission issued an order of
notice opening a docket to address unbundling and competition in
the gas industry. The order directed interested parties to file
written recommendations on the objectives, procedures and
methodology to be employed for developing a record pertinent to
gas restructuring and competition. In addition, the Commission
directed interested parties and Staff to conduct a technical
session on August 18, 1998 to review the recommendations and
attempt to adopt a common approach to developing a record.
II. HEARING
At the hearing, Commissioner Geiger, presiding, noted
and granted the requests for intervention by New Hampshire Gas
Corporation (NHGC), New York State Gas & Electric Corporation
(NYSEG), City of Manchester (Manchester), MainePower, AllEnergy
Marketing Company, L.L.C. (AllEnergy) and Enron Energy Services
(Enron).
Commission Staff (Staff) indicated that recommendations
had been received by EnergyNorth Natural Gas Inc. (ENGI),
Northern Utilities, Inc. (Northern), Office of Consumer Advocate
(OCA), NHGC, NYSEG, Enron, and Manchester. Staff stated that
pursuant to the order of notice, a technical session was held on
August 18, 1998. Staff noted that representatives of ENGI, OCA,
Northern, NHGC & NYSEG, AllEnergy, and Enron were in attendance.
Staff set forth the issues at the technical session as
follows:
A. The parties and Staff agreed to follow the recommended
procedures submitted by ENGI with the caveat that if
the procedures proved to be inefficient, the parties
reserved the right to petition for a change in the
procedures.
B. The parties and Staff agreed that in order to conserve
resources, Staff would perform the role of facilitator.
However, it was agreed that the role of the facilitator
would be reviewed in the event of conflict, or in the
interest of efficiency.
C. The parties and Staff agreed that the proceeding was to
be conducted as a collaborative and that it did not
lend itself to a formal procedural schedule at this
time. In place of a procedural schedule, the
participants have scheduled the following dates and
activities for initiation of the collaborative;
Educational Sessions, September 28, 29, 1998,
Discussion of Issues, October 14, 15, November 3, 4,
and December 1, 2, 1998. The Commission is invited to
the educational sessions should the Commission
determine it is appropriate to attend.
D. The parties and Staff have agreed to submit reports to
the Commission at critical phases or when milestones
have occurred.
E. The parties and Staff have agreed to investigate the
use of customer surveys and focus groups as a means of
obtaining a customer viewpoint on restructuring the
industry.
F. The parties and Staff agreed that it would be premature
given the collaborative process for the parties to
deliver preliminary positions at the August 26, 1998
hearing.
On the issue of bifurcation, Staff indicated that given
the collaborative nature of the proceeding, and the fact that
Staff has not formulated a position, the issue was not ripe.
ENGI and Northern stressed the need for input from
customers and indicated that feedback should be obtained early in
the process. Northern also noted that although it had agreed to
Staff acting in the facilitator role, it might be necessary to
examine other possibilities.
Staff noted that it had been in contact with the
Consumer Affairs Division concerning this issue and was prepared
to address the issue at the October meetings. The Commission
also indicated that the Consumer Affairs Division had recent
experience working with consultants in public relations and
advertising in the electric Restructuring proceeding.
With respect to a potential end date to the proceeding,
Staff anticipated a filing by early summer, however, it should be
noted that some of the parties felt that an early June filing was
overly optimistic.
The Business & Industry Association of New Hampshire
(BIA) requested intervention orally and was directed to file a
motion in writing and the parties were advised to file written
objections if appropriate.
III. COMMISSION ANALYSIS
We recognize the complexity of this proceeding and
agree with the parties and Staff that a collaborative approach is
the most preferable procedure for developing a record. We
acknowledge that as the process develops it may be necessary to
entertain an alternative approach should circumstances warrant.
Consequently, we approve the procedures presented and filed by
Staff at the hearing.
In response to an oral request for intervention by the
BIA at the hearing, BIA was directed to file a petition in
writing and advised the parties to respond where appropriate.
Seeing no objection, we approve the motion of BIA to intervene.
We also note that this proceeding was predicated upon
severable earlier dockets and that there is some confusion with
respect to the service list. With the exception of the natural
gas utilities, all interested parties must file petitions for
intervention in the instant docket.
Based upon the foregoing, it is hereby
ORDERED, that the recommended procedures and schedule
for developing a record are adopted; and it is
FURTHER ORDERED, that the late-filed Petition to
Intervene of the BIA is granted; and it is
FURTHER ORDERED, that all interested parties who have
not previously submitted Petitions to Intervene do so on or
before September 24, 1998; and it is
FURTHER ORDERED, that any party objecting to a Petition
to Intervene make said Objection on or before September 28, 1998.
By order of the Public Utilities Commission of New
Hampshire this fourteenth day of September, 1998.
Douglas L. Patch Bruce B. Ellsworth Susan S. Geiger
Chairman Commissioner Commissioner
Attested by:
Thomas B. Getz
Executive Director and Secretary