Federal government finalizes “click to cancel” rules. On October 16, the Federal Trade Commission announced the final version of its so-called click-to-cancel rule, part of its overall review of the “negative option” or automatic renewal regulations. The new rules take effect 180 days after publication in the Federal Register. The FTC summarized the regulations as prohibiting: (1)misrepresenting any material fact made while marketing goods or services with a negative option feature; (2) failing to clearly and conspicuously disclose material terms prior to obtaining a consumer’s billing information in connection with a negative option feature; (3) failing to obtain a consumer’s express informed consent to the negative option feature before charging the consumer; and (4) failing to provide a simple mechanism to cancel the negative option feature and immediately halt charges. The FTC’s decision states that companies seeking an exemption from these rules – e.g., because similar rules are already in force under a state government agency – must demonstrate the qualification for the exemption under the FTC’s existing procedures.
Progress towards new organized wholesale market in the West. A September 26 proposal from the West-Wide Governance Pathways Initiative’s Launch Committee would result in the establishment of a “Regional Organization” that would oversee wholesale market development in Western states, in cooperation with CAISO, and could eventually lead to the formation of a full-scale RTO/ISO in the Western states.
Massachusetts makes additional changes to the Clean Peak Energy Standard. The Massachusetts DOER issued an update on a number of Clean Peak Energy Standard (CPS) rulemakings on October 11. Effective immediately, the CPS ACP Rate will remain $45 through Compliance Year 2025. Starting Compliance Year 2026, the ACP Rate will be $65 through Compliance Year 2032. Thereafter, the ACP Rate will be $45 and will hold fixed at that price for the remainder of the program. Additionally, DOER changed how long retail electric suppliers may bank a clean peak energy credit from three years to two years and changed the Summer Seasonal Peak Period from 3:00 – 7:00 p.m. ET to 4:00 – 8:00 p.m. ET.
In Brief: The ERCOT Board of Directors in Texas on October 10 directed ERCOT to implement price corrections for two separate events that impacted the real-time market on August 9, 10, and 20…On October 18, the Maine Governor’s Energy Office announced the state received a $65 million grant from the U.S. Department of Energy for new technologies to enhance electrical grid planning and operation in Maine through the Flexible Interconnections and Resilience for Maine program between the State of Maine, Central Maine Power (CMP), and Versant Power…the Michigan PSC issued a press release on October 15, warning consumers “to be aware of signs that someone is a utility worker impostor, and to never let someone in your home unless you’re sure they’re who they say they are.” This follows the killing of an Oakland County resident by two men claiming to be utility employees investigating a gas leak… On October 17, New York Gov. Hochul announced that 6 gigawatts of distributed solar have been installed across New York, and now the solar deployment program a year ahead of schedule.
In Other News: The Baltimore Sun looked at a proposal by the Maryland PSC at FERC to “reform” PJM auctions, likely stemming from the looming capacity cost increase that state utilities will be passing on to consumers beginning in 2025. The Office of People’s Counsel announced a related filing at FERC on October 18…A Bloomberg Law article published on September 30, by a free market think tanker at R Street Institute and a Yale Law School professor argued the trust-busting power of the Justice Department should be directed at the electric utility monopolies…a Utility Dive article on October 2 explains the recent decision by FERC to allow the California ISO to modify the interconnection process to favor projects with the greatest likelihood of success. A number of merchant generators opposed the proposal.
Commission Comings-and-Goings: On September 30, ERCOT in Texas announced a new Board Chair and Vice Chair – Bill Flres (a former U.S. congressman) and Peggy Heeg (an energy attorney), respectively…On September 18, the Pennsylvania PUC announced the confirmation by the state senate of current Commissioner Yanora for a second five-year term…on October 7, the Ontario Energy Board announced the appointment of Dr. Vinay Sharma to the role of part-time commissioner and extension of Dr. Robert Dodds in his current role as full-time commissioner.
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