{"id":2597,"date":"2023-04-17T04:00:00","date_gmt":"2023-04-17T04:00:00","guid":{"rendered":"https:\/\/spragueoperati.wpenginepowered.com\/regulatory-matters-first-quarter-2023\/"},"modified":"2025-09-17T12:24:49","modified_gmt":"2025-09-17T12:24:49","slug":"regulatory-matters-first-quarter-2023","status":"publish","type":"post","link":"https:\/\/www.spragueenergy.com\/fr\/regulatory-matters-first-quarter-2023\/","title":{"rendered":"Regulatory Matters: First Quarter 2023"},"content":{"rendered":"

Sprague Regulatory Matters is provided as a courtesy to our customers. Please note that the information contained in Sprague Regulatory Matters is for informational purposes only and should not be construed as legal or business advice on any subject matter. You should not act or refrain from acting on the basis of any information included in this without seeking legal or professional advice.<\/em><\/p>\n

Annual Report on the State of Electric Competition<\/span>
\nConnecticut \u2013 Electric<\/span><\/p>\n

The Connecticut Public Utilities Regulatory Authority submitted to the Connecticut Legislature its Annual Report on the State of Electric Competition (Long Decision template with disclaimer (state.ct.us)<\/a>). The report includes various details and statistics on customer complaints, residential and business standard offer service rates and the number of\u00a0suppliers and aggregators operating within the state. In 2022, Connecticut had 34 electric suppliers and aggregators that were serving approximately 170,000 customers (10 percent of all electric distribution company customers) and they accounted for roughly 39 percent of all electricity sales.<\/span><\/p>\n

Energy Information Administration<\/span>
\nNational \u2013 Natural Gas<\/span><\/p>\n

The U.S. Energy Information Administration (EIA) reported that in 2022 U.S. natural gas production grew by 4 percent, 4.9 billion cubic feet per day (Bcf\/d) (U.S. Energy Information Administration – EIA – Independent Statistics and Analysis<\/a>). The Appalachia region in the Northeast produced more natural gas than any other U.S. region, accounting for 29 percent\u00a0of U.S. gross natural gas withdrawals. Even as Appalachia remained the most productive U.S. natural gas-producing region, its growth has been slowing because sufficient pipeline takeaway capacity is not available to transport more natural gas as there were no new major pipeline capacity additions from the Northeast region that came online in 2022.\u00a0At the same time, the least U.S. interstate natural gas pipeline capacity on record, 897 million cubic feet per day (Mcf\/d), was added in 2022 stemming from five projects. This is the least interstate natural gas pipeline capacity added since the EIA began collecting this data in 1995. There are two primary reasons for\u00a0this: (1) there was more growth in intrastate capacity \u2013 capacity additions to intrastate pipelines – and to existing FERC-administered interstate pipelines as expansions that increased intrastate capacity in 2022; and (2) there was less overall capital expenditure by oil and natural gas companies.<\/span><\/p>\n

Annual Report on Electric Competition<\/span>
\nMichigan \u2013 Electric<\/span><\/p>\n

The Michigan Public Service Commission issued its annual report on electric competition (2022 Status of Electric Competition in Michigan<\/a>). Michigan legislation restricts that no more than 10 percent of an electric utility\u2019s average sales for the preceding calendar year may take service from an alternative electric supplier. While participation by residential customers continues to be non-existent, some highlights include the following: (1) There were approximately 5,760 customers participating in the electric choice programs, down about 3 percent from the prior year, and this represents approximately 2,138 megawatts of electric demand, which is a slight\u00a0decrease from 2021. (2) As of December 2022, an additional 6,200 customers remained in a queue to take service from an alternative supplier. (3) The electric choice participation remained around 10 percent for each utility. (4) Every Michigan licensed supplier is now subject to capacity demonstration and state reliability mechanism provisions requiring that they have enough resources to serve customers four years forward and if they do not, they are subject to a Commission-approved capacity charge. (5) There are 21 licensed alternative suppliers with eight actively serving customers in the state.<\/span><\/p>\n

Iroquois ExC Project<\/span>
\nNortheast \u2013 Natural Gas<\/span><\/p>\n

Iroquois Gas Transmission System, LP is proposing a compression only enhancement of its existing natural gas delivery system to receive an additional 125 million cubic feet per day (Mcf\/d) of natural gas at Iroquois\u2019 interconnect with a Canadian mainline in Waddington, NY for redelivery to New York utilities (ExC Project | Iroquois Gas<\/a>). All new facilities would be constructed within Iroquois’ existing compressor station properties with no new pipeline additions proposed as part of the project. This includes the addition of compression and associated gas cooling at existing Iroquois compressor station sites. If approved, the project will supply an additional 125 Mcf\/d of natural gas for New York City, Consolidated Edison Company of New York, and National Grid,\u00a0which serves much of Columbia County. Iroquois hopes to obtain the air permits and break ground on the project by spring 2023.<\/span><\/p>\n

Robust Competitive Choice Activity<\/span>
\nOhio \u2013 Electric & Natural Gas<\/span><\/p>\n

The Ohio Public Utilities Commission hosts interactive dashboards that provide historical and current customer choice information on its website (Ohio customer choice activity | Public Utilities Commission of Ohio<\/a>). Electric choice activity data is available by year and by utility; and natural gas choice activity is available by year, utility, and customer class. This shows very robust competitive supplier activity in Ohio in 2022.<\/span><\/p>\n

Exploring Time of Use Rates for Standard Offer Service<\/span>
\nMaine \u2013 Electric<\/span><\/p>\n

The Maine Public Utilities Commission is exploring whether it may be in the public interest to offer standard offer service (SOS) time-of-use (TOU) rates to all customer classes in the service territories of Central Maine Power and Versant Power service territories (Case Details (maine.gov)<\/a>). Currently,\u00a0standard offer service providers are selected by the Commission following a competitive bidding process solicitation resulting in a standard offer service rate for each calendar year (January 1st to December 31st). SOS prices for the residential and small non-residential standard offer classes must be an amount\u00a0per kilowatt-hour that does not vary by a customer\u2019s usage level, or by month or time of day. The Maine Commission is exploring whether it may be in the\u00a0public interest to offer time-of-use rates to all customer classes in those service territories.<\/span><\/p>\n

Pushing for Partial Deregulation<\/span>
\nIowa \u2013 Electric<\/span><\/p>\n

There is discussion taking place in the Iowa State Legislature where the state’s largest power users are seeking to partially deregulate Iowa\u2019s electricity market. The impetus comes from the Iowa Economic Alliance, comprised of the state’s largest energy customers. After seeing energy prices increase dramatically \u2013 over 200 percent between 2021 and 2022 \u2013 members want to be able to break away from\u00a0MidAmerican Energy and Alliant Energy, the state’s major utilities, and buy power directly. Many of the member companies have operations in deregulated states and are large enough and sophisticated enough to get better rates buying their own power, said Louie Ervin, president of Latham, Ervin, Vognsen & Associates, an energy consulting firm that is advising the Iowa Economic Alliance.<\/span><\/p>\n

Emission Reduction Plans<\/span>
\nNew Jersey \u2013 Natural Gas<\/span><\/p>\n

The New Jersey Board of Public Utilities has started a proceeding to engage with stakeholders concerning the development of natural gas distribution utility plans to reduce emissions from the natural gas sector to levels that are consistent with achieving the State\u2019s 50 percent reduction in greenhouse gas emissions below 2006 levels by the year 2030. The Board\u2019s\u00a0action is a result of Governor Murphy\u2019s Executive Order 317 (Office of the Governor | Governor Murphy Announces Comprehensive Set of Initiatives to Combat Climate Change and Power the \u201cNext New Jersey\u201d (nj.gov)<\/a>) requiring the Board of Public Utilities to develop recommendations for how the natural gas industry can best meet these goals within 18 months.<\/span><\/p>\n

Disclaimer of Liability<\/span><\/p>\n

Every effort is made to provide accurate and complete information in Sprague\u2019s Regulatory Matters. However, Sprague cannot guarantee that there will be no errors. Sprague makes no claims, promises or guarantees about the accuracy, completeness, or adequacy of the contents and expressly disclaims liability for errors and omissions in the contents of this update.<\/em><\/p>\n

Neither Sprague, nor its employees make any warranty, expressed or implied or statutory, including but not limited to the warranties of noninfringement of third-party rights, title, and the warranties of merchantability and fitness for a particular purpose with respect to content available from Regulatory Matters. Neither does Sprague assume any legal liability for any direct, indirect or any other loss or damage of any kind for the accuracy, completeness, or usefulness of any information, product, or process disclosed herein, and does not represent that use of such information, product, or process would not infringe on privately owned rights.<\/em><\/p>\n

The materials presented in Regulatory Matters may not reflect the most current regulatory or legal developments, verdicts or settlements, etc. The content may be changed, improved, or revised without notice.<\/p>\n

Copyright Statement<\/p>\n

All content within the Sprague Regulatory Matters is the property of Sprague unless otherwise stated. All rights reserved. No part of Regulatory Matters may be reproduced, transmitted or copied in any form or by any means without the prior written consent of Sprague.<\/em><\/p>","protected":false},"excerpt":{"rendered":"

Sprague Regulatory Matters is provided as a courtesy to our customers. Please note that the information contained in Sprague Regulatory Matters is for informational purposes only and should not be […]<\/p>\n","protected":false},"author":1,"featured_media":47410,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"sfsi_plus_gutenberg_text_before_share":"","sfsi_plus_gutenberg_show_text_before_share":"","sfsi_plus_gutenberg_icon_type":"","sfsi_plus_gutenberg_icon_alignemt":"","sfsi_plus_gutenburg_max_per_row":"","footnotes":""},"categories":[26,24,27],"tags":[],"class_list":["post-2597","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-electricity","category-natural-gas","category-regulatory-news"],"acf":[],"yoast_head":"\nRegulatory Matters: First Quarter 2023 - Sprague Energy<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.spragueenergy.com\/fr\/regulatory-matters-first-quarter-2023\/\" \/>\n<meta property=\"og:locale\" content=\"fr_CA\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Regulatory Matters: First Quarter 2023\" \/>\n<meta property=\"og:description\" content=\"Sprague Regulatory Matters is provided as a courtesy to our customers. 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