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Testimony in Ohio Complaint Debates Need for Certification as Energy Consultant
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A consultant does not have to be certified by the Public Utilities Commission of Ohio to review contracts or to file documents with the Commission, Palmer Energy Company said in testimony answering a complaint filed by Buckeye Energy Brokers, Inc (Case 10-0693-GE-CSS).
Buckeye Energy Brokers, Inc. alleged that the services offered by Palmer Energy Company to governmental aggregators constitute a "competitive service," the provision of which requires a license. In Case 99-1609-AU-ORD, PUCO held that consultants need not be licensed, except in cases where they provide a "competitive service."
In the certification rules, the term "competitive service" incorporates the statutory definition of those services which have been declared competitive (e.g. retail generation) but also states that the term, "includes the services provided by retail electric generation providers, power marketers, power brokers, aggregators, and governmental aggregators."
Palmer Energy Company testified that reviewing contracts and filing documents with the Commission on behalf of a registered governmental aggregator does not constitute a "competitive service" which would require certification.
Palmer Energy Company testified that, as a consultant, it has had held agency status and/or power of attorney for purposes of working with certified entities, and did not act independently of its principal. "It acted as a consultant, not as an aggregator, marketer or broker," Palmer Energy Company said.
Palmer Energy Company said that it has not held itself out to the public as an electric services company that would include a power marketer, power broker, aggregator, or independent power producer.
Palmer Energy Company further testified that it has not, "engage[d] on a for-profit or not-for-profit basis in the business of supplying or arranging for the supply of only a competitive retail electric service in this state so as to be a power marketer, power broker, aggregator, or independent power producer." Similarly, Palmer Energy Company said that it has not engaged in the business of supplying or arranging for the supply of a competitive retail natural gas service to consumers that are not mercantile customers.
In its testimony, Buckeye Energy Brokers, Inc. countered that "competitive service" includes, "[a] service such as energy procurement, negotiating rates, arranging for the supply of energy, writing, reviewing and sending requests for proposals, reviewing contracts, filing documents with the commission, advising governmental aggregations, reviewing opt-out notices and mailing lists and meeting with suppliers and governmental aggregators at the same time, identifying gas/electric suppliers to consumers, identifying consumer load for gas/electric suppliers become contractually obligated to find a supplier or consumer, enter into agreements that allow obtaining and compiling load data or billing history of a consumer for the purpose of seeking bids for consumers, selecting gas/electric suppliers for consumers or suppliers, sign contracts on behalf of either consumers or gas/electric suppliers, act as or advising agent for either consumers or gas/electric suppliers, making purchasing decisions, being involved after a consumer and supplier agree on a transaction and paid by consumers and/or gas/electric suppliers."
Buckeye Energy Brokers' testimony did not offer a citation for including all such activities under the definition of "competitive service."
Palmer Energy Company is now a licensed electric and gas broker in Ohio, after receiving the certifications in the fall of 2009. The complaint was filed, and relates to activity, prior to that date.
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