In several dockets, the New Jersey Board of Public Utilities (“Board”) issued Orders that allowed for the collection from customers of increases in transmission-related costs, but not payment of these costs to BGS suppliers because FERC had not issued a Final Order regarding the increase in transmission rates (the “Collect, Don’t Pay Orders”). In its November 2019 Order approving the 2020 BGS Auction process, the Board directed Board Staff to work with interested stakeholders to find a resolution to this issue. Board Staff convened several meetings with the Electric Distribution Companies, the New Jersey Division of Rate Counsel, and suppliers to discuss the issue.
One option discussed in the meetings was a letter of credit to be secured by suppliers for their portion of the held funds to be released. Staff now seeks written and/or emailed comments on the appropriate percentage of the total held funds that suppliers should be required to post to secure their obligations should a future court decision require return of some or all of the funds to ratepayers.
Emailed comments should be submitted electronically to the BGS e-service list in Word or other easily converted format, by emailing Director Peterson at firstname.lastname@example.org and Ryan Moran at email@example.com.
Additional information regarding the submission of comments on this matter can be found in the attached document. All comments must be received on or before 5:00 PM EPT on October 9, 2020.
September 18, 2020.