4/2/2018 6:49:21 PM -
MarketWISE has been monitoring recent discussions which could present a strategic opportunity for your business. Numerous northeast markets are developing plans for a Supplier Consolidated bill option, a process familiar to Texas market participants. Current proposals in Ohio, Maryland, and Pennsylvania may each have their own unique models and business rules, and thus create new challenges and opportunities to Suppliers.
For years, market participants have fought for the implementation of Utility Consolidated Billing programs with Purchase of Receivables (POR). These programs simplified operational processes on the Supplier side and supported the success of Choice programs in their early stages. However, these programs are very restrictive as to the types of charges that can be included on the consolidated bill, primarily only charges that are commodity based. As Suppliers introduce more non-commodity and service-based products, they are required direct bill those non-commodity charges to the customers.
Also, Suppliers as the primary biller, have an opportunity to use the bill as an important marketing tool which keeps their name in front of the customer and provides more interaction and customer service connections throughout their contract.
AEP Ohio has a Supplier Consolidated Bill pilot underway with a small number of Suppliers that have entered the pilot program. The Ohio EDI workgroup requested that the PUCO enable a broader group to participate in the development of business rules and transactions for the pilot, so that standardization across utilities and states can be addressed. AEP is conducting their next meeting on April 10, 2018. An update will be provided on the next Ohio EDI workgroup meeting.
The MD PSC held a legislative—style hearing on February 20, 2018 to hear further from interested persons, including any party who filed written comments in this proceeding, to ask questions about the Supplier Consolidated Billing project – Case No. 9461. There were multiple presentations and there is currently another period for interested parties to submit comments.
At the Commission’s January 18, 2018 Public Meeting, the Commission adopted a Joint Motion of Chairman Brown and Commissioner Kennard re: Petition of NRG Energy, Inc. for Implementation of Electric Generation Supplier Consolidated Billing (P-2016-2579249).
Per the motion:
MarketWISE will track the progress of these SCB programs and participate in the implementation discussions supporting efforts to standardize business processes and transactions across States and Utilities to enable market participants and customers cost effective markets and choices.