Oklahoma Corporation Commissioners have approved a special tariff proposed by Public Service Company of Oklahoma to help reduce the cost of electric services to certain participating customers. But not all.
Approval came on a 3-0 vote last week despite opposition by the Oklahoma Industrial Energy Consumers whose attorney, Thomas Schroeder argued the Voluntary Curtailment Services program would not be an option for all PSO customers.
As proposed by PSO in 2022, customers choosing to participate in the VCS tariff program would have the option of curtailing usage during high energy market prices. The Corporation Commission’s Public Utility Division as well as Administrative Law Judge Linda Foreman urged commission approval of the program.
The proposal stated that service under the VCS tariff would be open to PSO customers who have a minimum 1,000 kW of curtailable demand.
Schroeder used an oral arguments session before the Commission to argue against it.
“While the OIEC acknowledges that this tariff provides benefits to customers, the VCS tariff proposed by PSO, also contains a a provision that prevents certain customer from participating in this VCS tariff. That provision in the tariff is not in the public interest. We urge you to reject that provision.”
He contended the provision would prohibit customers that are also participating in the Southwest Power Pool Energy and Reserve Operating market from participating in PSO’s tariff.
“We maintain that prohibition is not in the public interest and it is inconsistent with your policies and your prior orders which encourage customer participation in demand response programs to lower energy costs.”
Schroeder told commissioners the program against dual participation would also prevent customers from recognizing the rate relief associated with wholesale and retail demand response programs
“PSO customers are faced with staggering rate increases and I know you’re aware of this. Thirty-two percent of those increases are largely due to higher energy prices on PSO’s electric system,” said Schroeder. “Unfortunately, PSO’s tariff prevents the additional rate relief that we’re looking for.”
In the end, commissioners approved the PSO plan.