20 November 2009

WASHINGTON GAS APPEALS PSC'S $350K FINE

On January 14, and February 29, 2008, Washington Gas Light Company asked the D.C. Court of Appeals to review the PSC's September 28, 2007 order Nos. 14587 and 14262 fining WGL $350,000

for its failure to provide the Commission a requested document during the course of WGL's rate proceeding, Formal Case 1054.

In investigating WGL's rate increase request, the Office of the People's Counsel requested a number of documents from WGL, including its June 19, 2007 contract with Accenture for business process outsourcing. In addition to OPC, OPEIU Local 2 union and Commission staff requested a copy of the entire June 19, 2007 contract between WGL and Accenture. WGL objected to providing the documents to all the parties.
On July 19, 2007, OPC filed a motion to compel the production of the documents with the PSC. OPC provided additional information for the motion on July 20, 2007.The Commission ordered WGL to provide it with copies of the depreciation documents and the complete, unredacted agreement with Accenture on July 21, 2007. WGL provided the Commission with the requested accounting documents, but only provided an incomplete, redacted and unsigned copy of the Accenture agreement. On July 23, the first day of the evidentiary hearings, the PSC ordered WGL to produce copies of the documents to the parties by 5:00 p.m. that day. WGL told the Commission at the hearing it would not do so, and the PSC suspended the hearings.
On September 28, the PSC denied WGL's request for the Commission to reconsider its order to provide the documents and again ordered the Company to provide them to the parties. In a separate order issued that same day, the PSC fined WGL $350,000 for its failure to provide the Commission with a complete, unredacted copy of the WGL/Accenture contract when it was initially ordered to do so.
As a result of the Commission's orders fining WGL, the Company appealed. OPC filed a notice of intervention with the D.C. Court of Appeals supporting the Commission's orders upholding the $350,000 fine. WGL filed its brief on April 21, 2008, and a reply brief on June 25. OPC and the PSC filed briefs on June 4. The court set oral arguments for September 2008.

PEPCO’S $51.7 MILLION RATE INCREASE BID

Dear Consumers,

The D.C. Office of the People’s Counsel, your ratepayer advocate, is alerting you to Public Hearings scheduled before the D.C. Public Service Commission in Formal Case No. 1076. OPC is seeking your input on PEPCO’s request for a $51.7 million increase in its electric distribution rates. OPC is calling for a $10.4 million decrease in PEPCO’s current rates.

OPC is challenging components of PEPCO’s request for a rate increase because the Company has not provided adequate justification to support its proposed increase.

OPC believes this case raises critical issues utility consumers face now and will face in the future. For example,

1) PEPCO seeks to shift certain business risks from Company shareholders to consumers with no guarantee that service quality will be improved.

2) PEPCO has failed to adhere to its statutory mandate to provide District consumers safe, adequate and reliable electric service.

3) PEPCO has not detailed how consumers/ratepayers will be prepared and educated for a wave of future technologies, such as smart meters and the Smart Grid, or how the costs of these new technologies will be allocated.

OPC believes it is important for consumers to understand that this rate increase request is part of a continuing march toward higher electric bills. Residential rates over a five year period have increased by 98 %. For example, in 2004, a residential consumer paid $49.00 for 750kWh per month. Today, the same consumer will pay $97.00 per month even before PEPCO’s requested rates are increased. If PEPCO’s request is approved in its entirety, consumers will pay an additional $6.43 each month.

These are your dollars and your service. It is imperative that you attend at least one of the community hearings and raise your issues and voice your concerns on the public record.

To participate in the hearings, you should sign up in advance by contacting the Commission Secretary at 202-626-5150 by the close of business, at least 3 days before each hearing and ask to be placed on the public witness list.

Persons with special needs are encouraged to call the Public Service Commission in advance to assist with any arrangements to facilitate your participation.

If for any reason you are unable to attend the hearings you may submit your written testimony to be included on the public record to Ms. Dorothy Wideman, Director, Office of the Commission Secretary, DC Public Service Commission, 1333 H St. NW Washington DC, 20010. You may also send your testimony by email to dwideman@psc.dc.org This e-mail address is being protected from spambots. You need JavaScript enabled to view it .

The three community hearings will convene at the following locations on the dates specified below:

Chevy Chase Community Center

5601 Connecticut Avenue, NW

Saturday, October 24, 2009 at 12 Noon

DC Public Service Commission

1333 H Street NW

Hearing Room 7th Floor East Tower

Friday, November 20, 2009 10:00am

Hilcrest Recreation Center

3100 Denver Street, SE

Thursday, November 19, 2009 at 6:30 pm