COMMISSION NEWS |
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ARIZONA CORPORATION COMMISSION |
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TO: EDITORS, NEWS DIRECTORS |
DATE: January 15, 1998 |
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FOR: IMMEDIATE RELEASE |
CONTACT: Jennifer Jaress, (520) 628-6556 |
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COMMISSION REJECTS DELAYS TO ELECTRIC COMPETITION |
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The Arizona Corporation Commission yesterday demonstrated its intolerance for delays in the implementation of retail electric competition by ordering Arizona Public Service Company to appear before the Commission to show cause why it has not complied with the December 31, 1997 filing deadline prescribed by the Commission's Electric Competition Rules. The Commissioners also rejected several requests by electric cooperatives for waivers that would allow them to make filings 90 days after the December 31 deadline. |
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"The Commission showed that it will not tolerate future delays and that all deadlines need to be met in the future," Commissioner-Chairman Jim Irvin said. "The Commission will take a dim view of further waiver requests." |
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According to the Commission's Retail Electric Competition Rules, electric utilities were obligated to make several filings by December 31, 1997 in order to prepare for the phase-in of electric competition scheduled to begin January 1, 1999. All electric utilities regulated by the Commission were to file proposed unbundled tariffs and customer selection plans. Additionally, utilities with demand side management plans and low-income programs were to file proposed systems benefits charge tariffs. Utilities also had the option to file standard offer tariffs in addition to the required unbundled tariffs. |
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Arizona Public Service Company (APS) did not make any of the required tariff filings, but instead wrote a letter to the Commission's Utilities Division expressing that it did not intend to do so, stating that it felt additional substance was needed in the Commission's Competition Rules before such a filing could be made. |
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As a result, the Commission ordered APS to appear before the Commission and show cause as to why sanctions should not be imposed on the company for failure to follow Commission Rules. |
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"This Commission will insist that APS adhere to the same schedule required of the other electric utilities," Commissioner-Chairman Irvin said. |
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The Commissioners also refused a request for a 90-day waiver from Commission Rules filed by five electric power cooperatives. These cooperatives were Duncan Valley Electric Cooperative, Inc., Graham County Electric Cooperative, Inc., Mohave Electric Cooperative, Inc., Navopache Electric Cooperative, Inc., Sulphur Springs Valley Electric Cooperative, Inc. and Trico Electric Cooperative, Inc. |
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Instead, the Commission ordered these cooperatives to make required filings by February 13, 1998. If filings are not made by that date, the Commission has ordered its Utilities Division to investigate the cooperatives' reasons for noncompliance and recommend whether possible sanctions should be imposed by the Commission. |
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The following utilities filed documents as required by the Commission's Competition Rules: Ajo Improvement Company, Arizona Electric Power Cooperative, Inc., Citizens Utilities Company, Morenci Water and Electric Company and Tucson Electric Power Company. The Commission approved a motion by its Utilities Division to suspend action on these filings for 120 days while the Division and its consultants complete their analyses. |
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