Update:  On March 26, 2013, the OMAEG participated in the collaborative meeting with FirstEnergy and other interested stakeholders, which is a quarterly meeting to evaluate FirstEnergy’s energy efficiency and peak demand reduction portfolio plan (“EE/PDR”).  According to FirstEnergy’s figures, it is compliant with its cumulative efficiency benchmarks through 2012; it has slightly over-achieved, but not nearly to the extent that other utilities have.

The major issue for the collaborative is bidding energy efficiency resources into the PJM base residual auction (“BRA”).  Recall that on March 20, 2013, the PUCO issued its entry regarding FirstEnergy’s 2013-2015 EE/PDR plan.  In that entry, the PUCO directed FirstEnergy to bid 75% of its approved energy efficiency resources into the PJM BRA, similar to AEP-Ohio.  FirstEnergy must submit a plan to bid into the PJM auction by April 13, 2013.  However, FirstEnergy claims that the PUCO’s entry is unclear.  Many parties believe that FirstEnergy will attempt to undermine this requirement in some manner because bidding energy efficiency resources into the PJM BRA creates an obligation for FirstEnergy to continue energy efficiency programs through 2015, or be subject to a penalty by PJM.  OMAEG Counsel is currently evaluating strategic options and will provide guidance at next week’s board meeting.