Comparison of Issues Between
Unbundling/ Pricing/ Rate Design/ PBR
and Other Working Groups

Issue
Unbundling/ Pricing/ Rate Design/ PBR
Direct Access, Consumer Protection
WEPEX/ISO, Market Power
Transition Costs
Low Income
Renewable, Energy Efficiency, RD&D
Extent of Unbundling, Need for Phasing Lack of phasing may affect ability to begin competition on 1/1/98

Opportunities to enhance competition by unbundling among distribution & customer access functions

Phasing determines availability of component services for competitive supply
Pricing Methodologies, Tariff Structures Coordination of state and federal proceedings

Determine rates & tariff provisions for monopoly and UDC services

Role of non-firm rates with unbundled generation and transmission

Baseline rate design issues are of concern

Need DA and full service tariffs for all classes, for RTP, TOU, and existing tariff options Coordination of state and federal proceedings

Role of non-firm rates with unbundled generation and transmission

D.96-03-022 identifies baseline rate issues for low income group Revenue losses
Indistinct or Overlapping Boundaries Among Utility Functions Need to avoid cross-subsidization of distributed generation by deferral or substitution of T&D expenses (includes PBR concerns)

Need to ensure that DA & UDC customers see true T&D price signals concerning DSM & self-generation

Distributed generation complicates the separation of generation, transmission, & distribution

Roles of affiliates and business units

Distributed generation complicates the separation of generation, transmission, & distribution
Metering/ Communication Systems Tariff structure affects needed functionality of metering systems Metering standards affect feasibility of rate options for some customer classes Systems must be capable of supporting ISO cost allocation
Meter Installation Process and Schedule Cost of metering is a factor in PBR Installation process and priorities must be established
Bill Design and Format Bill communicates rate design Better energy use feedback Better energy use feedback
Rules for Service Providers Additional component services may pose service requirements beyond those of initial services Rules re expertise, certification, bonding/ insurance, and service & safety standards to be developed
CTC Ratemaking Concerns re "no cost shifting"

Feasibility of and mechanisms for pre-payment of CTC obligation

Determination of CTC revenues and accounting mechanisms

Feasibility of and mechanisms for pre-payment of CTC obligation

"Non-bypassable" Rates Need to determine rate mechanisms and possible needs for legislation Charges to be non-bypassable Charges to be non-bypassable Charges to be non-bypassable
Access to Information Availability of energy usage data can promote identification of appropriate unbundling D.96-03-022 recognized access to generation services information as pertinent to direct access
Interpretation of Existing Contracts Interpretation of non-firm termination provisions Interpretation of non-firm termination provisions