What's new at New York Energy Consumers Council, Inc?

Real Estate Weekly,  July 11, 2007  by David Bomke

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It has been a busy spring for the New York Energy Consumers Council, Inc. (NYECC).

We recently held a special Membership Breakfast in May 2007 where we discussed current issues that threaten the physical and economic reliability of the energy infrastructure which serves New York City and Westchester County and the impact of those issues on large property owners in the City.

We are pleased that several major owners were available to join us for this exciting program, and we look forward to hosting another Membership Breakfast this fall.

NYECC helped craft the settlement document, also known as the Joint Proposal ("JP") in the Con Edison Gas Rate Case. Con Edison originally filed its request for an increase in rates in November 2006. NYECC is pleased with the terms memorialized in the JP, filed with the New York State Public Service Commission (PSC) on June 1, 2007. The PSC will consider adoption of the JP at its September meeting session. Besides NYECC, other signatories to the JP include NYS Department of Public Service Staff, the City of New York, and others.

The NYECC filed its Statement in Support of the JP on June 19, 2007 and will place its Statement into the record at the Evidentiary Hearing to be held on July 10. There will also be an opportunity for public comment on the JP on July 9 in White Plains at 5 p.m. at the Westchester County Center in Meeting Room B, and on July 10 in New York City at 5 p.m. at the CUNY Graduate Center. New gas delivery rates are expected to go into effect for three rate years beginning on October 1, 2007 and ending on September 30, 2010. See below for more details on the specifics of the JP.

The NYECC is also participating as an active party in two additional PSC proceedings of interest--first, a generic consideration of the role of energy efficiency in future and ongoing rate case proceedings (Case 07-M-0548) and the Con Edison Electric Rate Case (Case 07-E-0523) filed by Con Edison on May 4, 2007. The Con Edison Electric Case filing requests an approximately $4.735 billion increase in electric rates during the three-year period from April 1, 2008 through March 31, 2011. Stay tuned for more information on both.

New members in the NYECC are critical for our continued growth, and a strong membership is the driving force that enables us to be successful in our mission to advance critical initiatives for large consumers.

The NYECC is pleased to report the following recent achievements:

* The NYECC's active participation in negotiating a settlement in the most recent Con Ed Steam Rate Case will save our members tens of millions of dollars during the two-year rate case that expires at the end of September 2008. Con Edison will be making essential investment in their plant while base rates remain unchanged for two years.

* Negotiations in the previous Con Edison Electric Rate Case by NYECC and the other active parties reduced Con Edison's original request for a $2.29 billion increase in electrical delivery charges by 76%, or $1.74 billion, over a three-year period.

* Today the NYECC is continuously engaged in safeguarding ratepayers by helping to ensure that only cost-effective DSM measures are enacted during the current electric rate case, thereby protecting customers from paying for initiatives that fail to deliver reliability and market price improvements. These measures could cost consumers as much as $279 million over a three-year period.

* The NYECC's intervention has helped reduce the volatility of the fuel adjustment charge for Con Edison's steam customers. Today, Con Ed is aggressively hedging fuel prices for steam customers, and steam customers can secure increased price certainty by participating in incremental hedging strategies.

* NYECC's members secure access to cutting edge energy market information. In addition, members benefit from the collective strength of the NYECC augmenting individual members' interactions with Con Edison, the Department of Public Service, and other market participants. Absent the continued strong and independent viability of the membership-supported New York Energy Consumers Council within New York City and Westchester County, energy consumers could anticipate reduced market choices, diminished utility reliability, less responsive energy providers, less market awareness, greater isolation from others facing comparable energy challenges, and significantly higher energy prices.

For more information on membership in the NYECC and how NYECC can make a real difference to your organization, please contact David Bomke at (212) 356-0030 or visit the NYECC website at www.nyecc.com

BY DAVID BOMKE, EXECUTIVE DIRECTOR, NYECC, Inc.

COPYRIGHT 2007 Hagedorn Publication
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