State of Illinois
90th General Assembly
Legislation

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90_SB1745

      220 ILCS 5/16-104
          Amends the Public Utilities Act.  Eliminates  the  common
      ownership  requirement  with  respect  to  access to delivery
      services.  Allows retail customers doing business  at  10  or
      more  locations  to elect to be an aggregation group eligible
      to receive delivery services by October 1, 1999.
                                                     LRB9011400JSdv
                                               LRB9011400JSdv
 1        AN ACT to amend the  Public  Utilities  Act  by  changing
 2    Section 16-104.
 3        Be  it  enacted  by  the People of the State of Illinois,
 4    represented in the General Assembly:
 5        Section 5.   The  Public  Utilities  Act  is  amended  by
 6    changing Section 16-104 as follows:
 7        (220 ILCS 5/16-104)
 8        Sec.  16-104.   Delivery  services  transition  plan.  An
 9    electric  utility  shall  provide delivery services to retail
10    customers in accordance with the provisions of this Section.
11        (a)  Each electric utility shall offer delivery  services
12    to retail customers located in its service area in accordance
13    with the following provisions:
14             (1)  On  or  before  October  1,  1999, the electric
15        utility  shall  offer  delivery  services  (i)   to   any
16        non-residential  retail  customer  whose  average monthly
17        maximum  electrical  demand  on  the  electric  utility's
18        system during the 6 months with  the  customer's  highest
19        monthly  maximum demands in the 12 months ending June 30,
20        1999  equals  or  exceeds  4  megawatts;  (ii)   to   any
21        non-governmental,  non-residential,  or commercial retail
22        customers under common ownership doing business at 10  or
23        more  separate  locations  within  the electric utility's
24        service area, if the aggregate coincident average monthly
25        maximum electrical demand of all  such  locations  during
26        the  6 months with the customer's highest monthly maximum
27        electrical demands during the 12 months ending  June  30,
28        1999  equals or exceeds 9.5 megawatts, provided, however,
29        that an electric utility's obligation to  offer  delivery
30        services  under this clause (ii) shall not exceed 3.5% of
31        the maximum electric demand  on  the  electric  utility's
                            -2-                LRB9011400JSdv
 1        system  in  the 12 months ending June 30, 1999; and (iii)
 2        to non-residential retail customers whose annual electric
 3        energy use comprises  33%  of  the  kilowatt-hour  sales,
 4        excluding  the kilowatt-hour sales to customers described
 5        in clauses (i) and (ii), to each  non-residential  retail
 6        customer class of the electric utility.
 7             (2)  On  or  before  October  1,  2000, the electric
 8        utility shall offer delivery  services  to  the  eligible
 9        governmental  customers  described in subsections (a) and
10        (b)  of  Section  16-125A  if  the  aggregate  coincident
11        average  monthly  maximum  electrical  demand   of   such
12        customers during the 6 months with the customers' highest
13        monthly  maximum  electrical demands during the 12 months
14        ending June 30, 2000 equals or exceeds 9.5 megawatts.
15             (3)  On or before December 31,  2000,  the  electric
16        utility  shall  offer  delivery services to all remaining
17        nonresidential retail customers in its service area.
18             (4)  On or before May 1, 2002, the electric  utility
19        shall  offer  delivery services to all residential retail
20        customers in its service area.
21        The loads and kilowatt-hour sales used  for  purposes  of
22    this  subsection shall be those for the 12 months ending June
23    30, 1999 for nonresidential retail  customers.  The  electric
24    utility shall identify those customers to be offered delivery
25    service  pursuant to clause (1)(iii) pursuant to a lottery or
26    other random nondiscriminatory selection process set forth in
27    the electric utility's delivery services implementation  plan
28    pursuant  to  Section 16-105.  Provided, that non-residential
29    retail customers under common ownership at separate locations
30    within the electric utility's service area may  elect,  prior
31    to  the  date  the  electric  utility conducts the lottery or
32    other  random  selection  process  for  purposes  of   clause
33    (1)(iii),  to designate themselves as an aggregation a common
34    ownership group, to be excluded  from  such  lottery  and  to
                            -3-                LRB9011400JSdv
 1    instead   participate   in   a   separate  lottery  for  such
 2    aggregation common ownership group pursuant to which delivery
 3    services will be offered to non-residential retail  customers
 4    comprising  33%  of  the  total  kilowatt-hour  sales  to the
 5    aggregation common ownership group on or  before  October  1,
 6    1999.   For  purposes  of  this  subsection  (a), an electric
 7    utility may define "common ownership" to exclude sites  which
 8    are  not  part of the same business, provided, that auxiliary
 9    establishments  as  defined  in   the   Standard   Industrial
10    Classification  Manual  published by the United States Office
11    of Management and Budget shall not be excluded.
12        (b)  The electric utility shall allow the aggregation  of
13    loads that are eligible for delivery services so long as such
14    aggregation meets the criteria for delivery of electric power
15    and  energy applicable to the electric utility established by
16    the  regional  reliability  council  to  which  the  electric
17    utility  belongs,  by   an   independent   system   operating
18    organization  to  which  the  electric utility belongs, or by
19    another organization responsible for overseeing the integrity
20    and reliability of the transmission system, as such  criteria
21    are  in  effect  from  time to time. The Commission may adopt
22    rules and regulations governing the criteria for  aggregation
23    of  the loads utilizing delivery services, but its failure to
24    do so shall not preclude any eligible customer from  electing
25    delivery  services.   The  electric  utility shall allow such
26    aggregation  for  any  voluntary   grouping   of   customers,
27    including without limitation those having a common agent with
28    contractual  authority  to purchase electric power and energy
29    and delivery services on  behalf  of  all  customers  in  the
30    grouping.
31        (c)  An  electric  utility  shall allow a retail customer
32    that  generates  power  for  its  own  use  to  include   the
33    electrical  demand  obtained from the customer's cogeneration
34    or self-generation facilities that  is  coincident  with  the
                            -4-                LRB9011400JSdv
 1    retail  customer's  maximum  monthly electrical demand on the
 2    electric  utility's  system  in  any  determination  of   the
 3    customer's  maximum monthly electrical demand for purposes of
 4    determining  when  such  retail  customer  shall  be  offered
 5    delivery services pursuant to clause (i) of subparagraph  (1)
 6    of subsection (a) of this Section.
 7        (d)  The  Commission  shall  establish charges, terms and
 8    conditions for delivery services in accordance  with  Section
 9    16-108.
10        (e)  Subject  to  the  terms  and  conditions  which  the
11    electric  utility  is  entitled  to impose in accordance with
12    Section 16-108, a retail customer that is eligible  to  elect
13    delivery services pursuant to subsection (a) may place all or
14    a  portion  of  its electric power and energy requirements on
15    delivery services.
16        (f)  An electric utility may require  a  retail  customer
17    who elects to (i) use an alternative retail electric supplier
18    or  another  electric  utility  for  some  but not all of its
19    electric power or  energy  requirements,  and  (ii)  use  the
20    electric  utility  for  any portion of its remaining electric
21    power and energy requirements,  to place the portion  of  the
22    customer's electric power or energy requirement that is to be
23    served by the electric utility on a tariff containing charges
24    that  are set to recover the lowest reasonably available cost
25    to the electric  utility  of  acquiring  electric  power  and
26    energy  on  the  wholesale  electric  market  to  serve  such
27    remaining portion of the customer's electric power and energy
28    requirement,  reasonable  compensation  for arranging for and
29    providing such electric power or  energy,  and  the  electric
30    utility's  other costs of providing service to such remaining
31    electric power and energy requirement.
32    (Source: P.A. 90-561, eff. 12-16-97.)

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