Update: On July 17, 2013, the PUCO issued an entry permanently adopting the mercantile pilot program (“EEC Pilot”) and adopted Staff recommendations except for the December 31 annual deadline.  The PUCO directed Staff to recommend appropriate modifications to Ohio Administrative Code Chapter 4901:1-39 (Energy Efficiency Programs) in Case No. 13-651-EL-ORD, as may be necessary to incorporate the EEC Pilot.

Recall that the PUCO created the EEC Pilot in the fall of 2010 that provided for the automatic approval of applications filed by mercantile customers who chose to commit their peak-demand reduction, demand response, or energy efficiency projects for integration with an electric distribution utility’s (“EDU”) programs.  By committing such resources, the mercantile customer may apply for exemption from an EDU’s rider mechanism.  The EEC Pilot was extended in September 2012 and Staff was directed to file a report by January 15, 2013.

The Staff filed a report and recommended that the PUCO extend the pilot program, subject to the following modifications: 1) adopt December 31 as the annual deadline to submit historical mercantile applications for energy efficiency projects that commenced within the previous three calendar years; 2) continue using the benchmark comparison methodology to determine the appropriate length of exemption from the EE/PDR rider; 3) require annual reports to continue an exemption of the EE/PDR rider; 4) require additional filings for all applications using the commitment payment program, so the EDU can continue to count energy savings associated with behavioral modification projects; and 5) update the historical mercantile application template.