Agenda Date: 06/14/07Agenda Item: 2C
State lot New JerseyBoard of Public Utilities
Two Gateway CenterNe'Nark, NJ 07102
~,.bpu.state.ni.us
IN THE MATTER OF THE PROVISIONOF BASIC GENERATION SERVICE FORYEAR TWO OF THE POST-TRANSITIONPERIOD
))
ENERGY
DECISION AND ORDER
DOCKET NO. ERO7060379
(SERVICE LIST ATTACHED)
BY THE BOARD:
By prior Board Orders, Docket No. EO05040317, dated 12/08/05 and Docket No. EO06020119,dated 12/22/06 the Board approved, wi1lh modifications, the joint Basic Generation Service(BGS) proposals of Conectiv Power [)elivery (Conectiv), Jersey Central Power & LightCompany (JCP&L), Public Service Electric and Gas Company (PSE&G) and Rockland ElectricCompany (Rockland) that used a descending clock auction format to procure two-thirds of theState's BGS requirements for Fixed-Price (FP) customers through periods extending to May 31,2010. In those prior Orders, the Board did not address how the remaining one-third of theState's BGS requirements for FP customers, as well as the State's annual BGS requirementsfor Commercial and Industrial Energy Pricing (CIEP) customers would be procured for theperiod beginning June 1, 2008.
The process adopted by the Board to determine how to procure BGS for the past six yearsprovided opportunity for participation by all interested parties through both written commentsand at public hearings which resulted in a wide range of BGS suggestions, a timely Boarddecision and, ultimately, a successful pro(;urement process. Accordingly, the Board intends toinitiate a proceeding, consistent with the procedure employed for the past six years, todetermine what type of process should ble used to procure BGS FP and CIEP Service for theperiod beginning June 1, 2008. The proposed schedule would result in a Board decision inOctober of 2007 on the process, to be followed by the procurement of BGS FP and CIEPrequirements in February 2008, subject to Board approval.
Therefore, the Board DIRECTS the Electric Distribution Companies (EDCs) Conectiv, JCP&L,PSE&G, and Rockland to file proposals rlo later than July 2, 2007 addressing how to procurethe remaining one third of the State's BGS FP and the annual CIEP requirements for the periodbeginning June 1, 2008. In addition, the 130ard also invites all other interested stakeholders tofile alternative BGS procurement proposal:s with the Board by July 2, 2007.
Furthermore, the Board ADOPTS the preliminary procedural schedule in Attachment A to thisOrder. Interested parties should file discovery and comments with the Board's Secretary andcirculate them electronically through the electric list server used by Staff for these types ofcommunications. Parties should adhere to the attached schedule unless otherwise directed.
Parties will be advised of the time and place of the legislative-style hearing identified inAttachment A through the electric list server used by Staff for these types of communications.The Board and/or Staff will also notify parties through the electric list server and, when possible,through the BPU webpage of the time and location of any meetings or hearings as well as anyschedule changes.
.Further, the Boston Pacific Company, Inc:. (BP) was hired by the Board in December 2006 tooversee and monitor the 2007 Auction process proposed by the four EDCs in New Jersey toprocure supplies for BGS FP and CIEP c::ustomers. Among the many related tasks, BP wasresponsible for providing a Final Report on the auction results with recommendations to improvefuture auctions. At its May 23, 2007 Agenda meeting the Board acknowledged receipt of the BPFinal Report. The BP Final Report is available on the Board's website at the following linkhtt ://www.b u.state.n..us/wwwroottener /BGSfinal 20070430. df.
BP in its BGS Final Report provided recommendations for changes to be considered by theEDCs, stakeholders and the Board !hrough the BGS proceedings process in an attempt toimprove future BGS Auctions. These include issues pertaining to RPM and CIEP; Three One-Year Products; and Random Element of Decrements within the BGS Auction process. As partof the July 2, 2007 EDCs BGS filings, the Board DIRECTS that the EDCs as well as interestedstakeholders address the recommendations in the Boston Pacific (BP) BGS Final Reportrelating to: RPM and CIEP; Three One-Year Products; and Random Element of Decrements.
BOARD OF PUBLIC UTiliTIESBY:
ATTEST: ~'
KRISTI IZZOSECRETARY
2 DOCKET NO. ERO7060379
ATTACHMENT AERO7060379
Preliminary 2008 BGS Auction Schedule
Filing by all parties of Proposals and/or Modifications for BGS 2008Discovery request deadlineDiscovery response deadlineDeadline for Initial Comments on all proposalsLegislative-type Board HearingPublic Hearing*Deadline for Final CommentsExpected Board decision on BGS proposals
EDC Compliance Filing
Expected Board decision on Compliance Filing
BGS Auctions
* This is a placeholder for public hearings (time and place to be scheduled by the EDCs in
conjunction with the BPU), as required.
June 19, 2007 Page 1 of3Board of Public Utilities
Basic Generation Service ("BGS")ERO7060379Service List
BPUSTAFFKristi Izzo, SecretaryBoard of Public UtilitiesTwo Gateway CenterNewark, New Jersey 07102
Kevin ConnollyJCP&L300 Madison AvenuePO Box 1911Morristown,NJ 07962-1911
SUPPLIERSMatt NollenbergerAEP155 W. Nationwide Blvd. St. 500Columbus, OH 43215
Mark BeyerChief EconomistBoard of Public UtilitiesTwo Gateway CenterNewark, New Jersey 07102
RATEPAYER ADVOCATESeema M. Singh, ActingRatepayer Advocate & DirectorDivision of Ratepayer Advocate31 Clinton Street, 11th FloorP.O. Box 46005Newark, New Jersey 07102
Scott BrownExelon Energy (PECO)2315 Enterprise DriveWestchester, IL 60154-5811
Larry SweeneyJCP&L300 Madison Ave,P.O. Box 1911Morristown, NJ 07962-1911
Nusha Wyner, DirectorDivision of EnergyBoard of Public UtilitiesTwo Gateway CenterNewark, New Jersey 07102
Badrhn M. Ubushin, Esq.Division of Ratepayer Advocate31 Clinton Street, II dI Floor
P.O. Box 46005Newark, New Jersey 07101 David Koenig
Allegheny Energy909 3rd Avenue, 33rd FloorNew York, NY 10022
Marc B. Lasky, Esq.Thelen Reid Brown Raysman &Steiner LLP200 Campus Drive, St. 210Florham Park, NJ 07932
Frank PerrottiDivision of EnergyBoard of Public UtilitiesTwo Gateway CenterNewark, New Jersey 07102
Ami MoritaDivision of Ratepayer Advocate31 Clinton Street, II d1 Floor
P.O. Box 46005Newark, New Jersey 07101
Eric KonopackyConstellation Power Source, Inc.III Market Place, Suite 500Baltimore, MD 21202
Julie Friedberg, Esq.Thelen Reid Brown Raysman &Steiner LLP200 Campus Drive, St. 210Florham Park, NJ 07932 Brian Liu
Constellation Power Source, Inc.III Market Place, Suite 500Baltimore, MD 21202
Rene DemuynckDivision of EnergyBoard of Public UtilitiesTwo Gateway CenterNewark, New Jersey 07102
Kurt LewandowskiDivision of Ratepayer Advocate31 Clinton Street, 11 d1 Floor
P.O. Box 46005Newark, New Jersey 07101 ~
Francis E. Delany, Jr., Esq.Public Service Electric & Gas Co.80 Park Plaza, T8CNewark, NJ 07101
Murry WeaverEntergy Power Marketing Corp.Parkwood Two Building, Suite 50010055 Grogan's Mill RoadThe Woodlands, TX 77380
Diane SchulzeDivision of Ratepayer Advocate31 Clinton Street, II th Floor
P.O. Box 46005Newark, New Jersey 07101 Frances I. Sundheim, Esq.
Public Service Electric & Gas Co.SO Park Plaza TSCNewark, NJ 07101
John GarveyOffice of the EconomistBoard of Public UtilitiesTwo Gateway CenterNewark, New Jersey 07102
John StutzTellus Institute11 Arlington StreetBoston, MA 02116-3411
David SamuelsMorgan Stanley Capital Group, Inc.2000 Westchester Ave.Purchase, NY 10577Alice Bator, Chief
Division of EnergyBoard of Public UtilitiesTwo Gateway CenterNewark, New Jersey 07102
ROCKLANDJohn L. Carley, Esq.Consolidated Edison Co. of NY, Inc.4 Irving PlaceNew York, NY 10003
~Phil PassanantePepco Holdings, Inc.800 King StreetPO Box 231Wilmington, DE 19899-0231
Deborah HartMorgan Stanley Capital Group, Inc.2000 Westchester Ave.Trading FloorPurchase,NY 10577Dennis Moran, Asst. Director
Division of EnergyBoard of Public UtilitiesTwo Gateway CenterNewark, New Jersey 07102
James C. Meyer, Esq.Riker, Danzig, Scherer, Hyland &Perretti, LLPHeadquarters PlazaOne Speedwell AvenueMorristown, NJ 07962
Catherine FlaxMorgan Stanley Capital Group, Inc.1585 Broadway, 4th FloorNew York, NY 10036
Mark Mucci, Esq.Saul Ewing LLPOne Riverfront Plaza, 5th FloorNewark, NJ 07102-5490
Michael MerizioDivision of EnergyBoard of Public UtilitiesTwo Gateway CenterNewark, New Jersey 07102
David HernandezOrange & Rockland Utilities390 West Rt. 59Spring Valley, NY 10977-5320
Sharon WeberPP&L Energy Plus2 North 9th Street TW 20Allentown, PA 18101
Joe JanochaAtlantic City Electric Co.5100 Harding HighwayMays Landing, NJ 08330
Kevin JonesOrange & Rockland Utilities390 West Rt. 59Spring Valley, NY 10977-5320
Gary SorensonPSEG Power80 Park Plaza, T-21ANewark, NJ 07102
Peter SchaubPepco Holdings, Inc.70I Ninth Street NWWashington, DC 20068-000I
Gregory MarquisPHI Power Procurement701 Ninth StreetNWWashington, DC 20068
~Carla BellaDivision of LawDept. of Law & Public Safety124 Halsey StreetP.O. Box 45029Newark, New Jersey 07102
fJMJackie HugeePJM Interconnection, L.L.C.955 Jefferson AvenueValley Forge Corporate CenterNorristown, PA 19403-2497
Shawn P. LeydenPSEG Energy Resources & Trade80 Park Place, T-19Newark, NJ 07102Babette Tenzer
Division of LawDept. of Law & Public Safety124 Halsey StreetP,O. Box 45029Newark, NJ 07102
Ken SalamoneSempra Energy Trading Corp.58 Commerce RoadStamford, CT 06902
,!Q.&1Michael J. FilipponeJCP&L300 Madison AvenuePO Box 1911Morristown. NJ 07962-1911
June 19,2007 Page 2 of3Board of Public Utilities
Basic Generation Service ("BGS")ERO7060379Service List
Dale Kantennan, VPEastern Energy Services60 Fostertown RoadMedford, NJ 08055
Gary FerenzConectiv Energy Supply Inc.Christiana Bldg.252 Chapman RoadP. O. Box 6066Newark, DE 19714-6066
David SamuelsIPMorgan Commodities270 Park Ave., 6th FloorNew York, NY 10017
Marilena MarrelliSempra Energy Trading Corp.58 Commerce RoadStanford, CT 06902
MARKETERSIrene PrezeljFirstEnergy Solutions395 Ghent Rd., Ste. 408Akron, OH 44333
Marc HanksSelect Energy, Inc.107 Selden StreetBerlin, CT 06037
Ike GibbsReliant Energy, Inc.379 Thoma! StreetFifth FloorEdison, NJ 08837
Katharine OlinchakConectiv Power Delivery401 Eagle Run Rd.PO Box 9239Newark, DE 19714-9239
Bill RiceReliant Energy1111 Louisiana StreetHouston, TX 77002
Kevin LaguardiaAmerada Hess CorporationOne Hess PlazaWoodbridge, NJ 07095
Tom KinnaneDirect Energy3 Bethesda Metro Center st. 7007450 Wisconsin Ave.Bethesda, MD 20814
Rose BurkeConectiv Energy Supply Inc.Christiana Bldg.252 Chapman RoadP. O. Box 6066Newark, DE 19714-6066
Shalin ShahReliant Energy1111 Louisiana StreetLocation 1971DHouston, TX 77002
Ariel LoggerCustomized Energy Solutions100 North 17th Street 14th FloorPhiladelphia, PA 19103
Tom MichelmanXenergy3 Burlington Woods, 4th fl.Burlington, MA 01803-4543
Maria RobinsonCon Edison ~nergy701 Westchester AvenueSuite 201 WestWhite Plains, NY 10604
Tim DanielsConstellation NewEnergy810 7d1 Ave., Ste. 400New York, NY 10019
Pamela MeltonStrategic Energy LLCPO Box 44-449Ft. Washington. MD 20749
Leah GibbonsReliant Energy LLC324 Cedar LaneRockvilIe, MD20851 Stephen Wemple
Con Edison Energy701 Westchester AvenueSuite 201 WestWhite Plains, NY 10604
George BraulkeGabel Associates417 Denison StreetHighland Park, NJ 08904
OTHER PARTIESJack JohnsonPresidentGeophonic, Inc.P.O.Box 580Summit, NJ 07901
Brian WhitlatchAEP155 W. Nationwide Blvd., St. 500Columbus, OR 43215 John Holtz
Green Mountain Energy Co.3000 Atrium WayMail Box 275Mount Laurel, NJ 08054
Angelo CharnbroneSelect Energy NY, Inc.507 Plum StreetSyracuse, NY 13204
Igor GontaJ. Aron & Co.85 Broad Street, 9th FloorNew York, NY 10004
Nathaniel GreeneNRDC40 W. 20th Street, 11th fl.NewYork,NY 10011
Christian HnatEdison Mission Marketing &Trading160 Federal Street, 4th FloorBoston, MA 02110
Paul DwyerGreen Mountain Energy Co.123 Bloomingdale Ave.Suite 202Wayne, PA 19087
Kuljinder ChaseEnergy TradingMerril Lynch Capital Services4 World Financial Center 7th fl.New York, NY 10080
Sara BluhmNJBIA102 West State StreetTrenton, NJ 08608-1199
Leonard E. NavitskySelect Energy, Inc.3301 Cherokee St.Emmaus, PA 18049
Robert ViolaEdison Mission Mktg. & Trading160 Federal Street, 4th FloorBoston, MA 02110
Jay KooperAmerada Hess Corp.One Hess PlazaWoodbridge, NJ 07095
Tom MichelmanSenior Professional -XENERGY3 Burlington Woods -4th FloorBurlington, MA 01803-4543
Melanie Willoughby, VPNJBIA102 West State StreetTrenton, NJ 08608-1199
Gordon SandersonSuez Energy Marketing NA1990 Post Oak Blvd.Suite 1900Houston, TX 77056-3831
Ira MegdalCozen, O'ConnorLibertyview, St. 300457 Haddonfield RoadP.O. Box 5459Cherry Hill, NJ 08002-2220
Kate McNamaraDelaware River Port AuthorityPort Authority Transit Corp.One Port Center2 Riverside DriveCamden, NJ 08101
Bob TrejoUBS677 Wawshington Blvd.Stamford, CT 06901
Lisa FergusonDuke Energy North America5400 Westheimer CourtHouston, TX 77056
Steve SheppardDTE Energy Trading414 S. Main St., Suite 200Ann Arbor, M148104
Roger M. SchwarzGovernmental Affairs (RESA)1 Benjamin Rush LanePrinceton, NJ 08540Michael G. Briggs
Reliant Resources, Inc.801 Pennsylvania Ave. NWWashington, DC 20004-2604
D. Michael CornwellDominion Retail, Inc.120 Tredegar StreetRichmond, VA 23219
Marvin SpiraFood Policy Institute71 Lipman DriveNew Brunswick, NJ 08901
Stephen J. HumesMcCarter & EnglishCityPlace 1Hartford, CT 06103
SueAnne I. HarrelPepco Energy Services101 Castle Pointe Blvd.Piscataway, NJ 08854
William BarkasDominion Retail, Inc.625 Liberty Ave., 21st FloorPittsburgh, P A 15222
Grace KurdianMcCarter & English245 Park Ave.New York, NY 10167
Richard SantoroNJ Retail Merchants Assoc.332 W. State StreetTrenton, NJ 08618Dana Swieson
EPEX102 Pickering Way, Suite 102Exton, PA 19341-1330
June 19,2007 Page 3 of3Board of Public Utilities
Basic Generation Service ("BGS";ERO7060379Service List
James BentonNJ Petroleum Council150 W. State StreetTrenton, NJ 08608
David GillespieNJ TransitOne Penn Plaza EastNewark, NJ 07105-2246
Linda DohertyNJ Food Council30 W. Lafayette St.Trenton, NJ 08608
Frank MagnottiComverge, Inc.120 Eagle Rock Ave., St. 190East Hanover, NJ 07936
Gregory LawrenceMcDermott Will & Emery28 State StreetBoston, MA 02109-1775
Paul ForshaySutherland Asbill & Brennan1275 Pennsylvania Ave. NWWashington, DC 20004-2415
Steven S. Goldenberg, Esq.Fox Rothschild997 Lenox Drive, Bldg. 3Lawrenceville, NJ 08648
Howard ThompsonRusso Tumulty NesterThompson & Kelly LLPOne Exchange Place, Suite 501Jersey City, NJ 07302
Daniel O'Hem, Jr.Becker Meisel, LLCThe Galleria2 Bridge Ave., Bldg. 1Red Bank, NJ 07701
Murray BevanCourter, Kobert, & Cohen, P.C.1001 Rt. 517Hackettstown, NJ 07840
James LaskeyNorris McLaughlin & Marcus721 Rt.202-206Bridgewater, NJ 08807
Dena MottolaNJPIRG11 N. Willow StreetTrenton, NJ 08608
Phyllis Salowe-KayeNJ Citizen Action433 Market St. Suite 201Camden, NJ 08102