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AEP Ohio, PUCO Staff, OCC Enter Stipulation On Data Center Tariff, Addresses Default Service Proposal
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The entirety of AEP Ohio's default service proposal for a separate SSO for new data centers would be withdrawn under a stipulation among AEP Ohio, Staff of the PUC of Ohio, the Ohio Consumers' Counsel, and several other parties which would approve a modified version of AEP Ohio's new tariff applicable to data centers (the "AEP settlement")
As previously reported, other parties, consisting largely of data center operators and some retail suppliers and wholesale suppliers, have filed a competing stipulation in the proceeding
As previously reported, AEP Ohio had originally, as part of a new tariff for data centers, proposed a separate form of the Standard Service offer (SSO) for these data center customers (data center SSO)
In brief, the original proposal would have established a separate SSO procurement to serve SSO load, but such procurements would have been for distinct six-month terms of service under the data center SSO. Data centers commencing operations in the middle of such a data center SSO pricing term would not have been eligible for either the data center SSO or the regular SSO, but would have instead been served under PJM market purchases, to the extent the data center did not take service from a competitive retail supplier
Notably, a customer placed on the six-months data center SSO pricing term would not have been permitted to shop during the data center SSO pricing term, and would have been required to provide 60 days notice, prior to the start of the next six-month data center SSO pricing term, in order to leave the data center SSO for retail supply
The AEP settlement would withdraw, in total, the proposed default service provisions of AEP Ohio's originally proposed data center tariff, including the data center SSO and associated minimum stays
The withdrawal of the data center SSO provisions would be without prejudice, and AEP Ohio reserves the right to seek default service changes related to data centers in a separate docket. All signatories to the AEP settlement reserve their rights regarding any future SSO proposal
In other matters, the AEP settlement would combine the originally proposed separate Mobile Data Center Tariff into the proposed Data Center Tariff (Schedule DCT).
The merged Data Center Tariff would apply to new data centers or expansions of existing data centers which are in excess of 25 MW
With respect to distributed generation at data centers, the AEP settlement provides, "Consistent with Ohio Administrative Code Chapter 4901:1-22, Schedule DCT Customers shall enter into an
interconnection agreement between the Company [AEP Ohio] and the Customer in advance of connecting any source of power
other than the delivery point specified in the Contract. Emergency or backup generation that is not designed to operate in
parallel with the Company’s system is not subject to the additional requirements in this section."
If a data center customer uses DG to offset its capacity requirements that would be established under the data center tariff, the stipulated tariff provides that, "equipment must be in place and
maintained through the term of the Electric Service Agreement to instantaneously curtail load equal to or greater than the
behind-the-meter generation output[.]"
The merged Data Center Tariff under the AEP settlement includes provisions for collateral required by data centers, exit fees, and capacity re-assignment
Other signatories to the AEP settlement include the Ohio Energy Group, Walmart, and Ohio Partners For
Affordable Energy.
Case No. 24-508-EL-ATA
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October 23, 2024
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Copyright 2024 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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