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Electric Utility Expands Market-based Rate Plan
The Oregon Public Utility Commission has authorized Portland General Electric Co. to expand market-based (discounted) pricing options for commercial and industrial (C&I) customers, by lowering the minimum load threshold from 10 to 5 megawatts.
Pricing under the new tariff is based on either 1) an annual fixed-price quote set at the beginning of the contract year and reflecting the market price of power delivery to the utility's service territory; or 2) the daily nonfirm price at the California-Oregon Border, plus 1 mill per kilowatt-hour.
The utility expects about 20 customers to enroll under the new pricing program and projects a revenue loss of $1.5 million in 1996, growing to $4.4 million in 1997. Under the approved plan, new customers are excluded from the utility's decoupling mechanism so other ratepayers will not automatically make up the margin loss. Re Portland Gen. Elec. Co., UE 98, July 31, 1996 (Ore.P.U.C.).
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