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AEP Ohio Files Additional Details on RPM Set-Aside Procedures

October  6, 2011
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AEP Ohio has filed a revised plan to implement the proposed RPM set-aside, providing greater details and granularity after being informed by a collaborative with suppliers and other parties (11-346-EL-SSO et. al.).

As previously reported (9/7), the RPM set-aside, if approved under a non-unanimous stipulation governing AEP Ohio's electric security plan, would provide retail suppliers, up to a cap, an amount of capacity priced at the RPM clearing price, rather than AEP Ohio's higher embedded cost of capacity.

AEP Ohio said that its understanding is that all parties previously signing the stipulation agree with the revised RPM set-aside implementation plan.

Most notably, the revised implementation plan includes additional methods for suppliers and customers to register for the first come, first served RPM allotments. In addition to a signed affidavit of a validly executed customer contract, a retail supplier may now establish its standing in the set-aside queue through an EDI message received by AEP Ohio for a valid transaction to begin open access service. Additionally, a customer providing 90 days notice to AEP Ohio to take retail access shall have their standing placed into the set-aside queue as of the date of such notice.

The revised implementation plan also provides more granular details on monthly weather adjustments to kWh sales used in the set-aside calculation.

The revised plan further specifies the procedure to be used for the annual usage calculation under the set-aside for customers with less than 12 months of usage data.

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