You've heard talk lately about the convergence of electricity and natural gas. That idea has grown as commodity markets have matured for gas and emerged for bulk power.
But some...
Boston Edison has proposed a unique pilot program that would allow 10 large customers to test hour-by-hour pricing. Although the one-year pilot is not a rate discount program, it would offer participants 10 percent off their demand charge (em in effect, a 4-percent discount. The pilot simulates a market price using a computer model that relays an hourly breakdown of costs to the customers. If the customers are able to respond and move their load around, they may save; if not, their electric bill may remain the same, or perhaps rise.
The pilot is part of Boston Edison's revised
"E-Plan," the electric restructuring proposal it filed with the Massachusetts Department of Public Utilities in February. The E-Plan would involve two phases: 1) efficient direct access, with simulated market prices for all customers starting in 1997; and 2) complete direct access with customer choice in 1998. t
Lori A. Burkhart is an associate legal editor of PUBLIC UTILITIES FORTNIGHTLY.
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