Full Text of SB0456 95th General Assembly
SB0456eng 95TH GENERAL ASSEMBLY
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SB0456 Engrossed |
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LRB095 08229 MJR 28399 b |
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| AN ACT concerning regulation.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Public Utilities Act is amended by changing | 5 |
| Section 16-115 as follows:
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| (220 ILCS 5/16-115)
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| Sec. 16-115. Certification of alternative retail
electric | 8 |
| suppliers.
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| (a) Any alternative retail electric supplier must obtain
a | 10 |
| certificate of service authority from the Commission in
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| accordance with this Section before serving any retail
customer | 12 |
| or other user located in this State. An alternative
retail | 13 |
| electric supplier may request, and the Commission may
grant, a | 14 |
| certificate of service authority for the entire State
or for a | 15 |
| specified geographic area of the State.
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| (b) An alternative retail electric supplier seeking a
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| certificate of service authority shall file with the
Commission | 18 |
| a verified application containing information
showing that the | 19 |
| applicant meets the requirements of this
Section. The | 20 |
| alternative retail electric supplier shall
publish notice of | 21 |
| its application in the official State
newspaper within 10 days | 22 |
| following the date of its filing. No
later than 45 days after | 23 |
| the application is properly filed
with the Commission, and such |
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| notice is published, the
Commission shall issue its order | 2 |
| granting or denying the
application.
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| (c) An application for a certificate of service
authority | 4 |
| shall identify the area or areas in which the
applicant intends | 5 |
| to offer service and the types of services
it intends to offer. | 6 |
| Applicants that seek to serve
residential or small commercial | 7 |
| retail customers within a
geographic area that is smaller than | 8 |
| an electric utility's
service area shall submit evidence | 9 |
| demonstrating that the
designation of this smaller area does | 10 |
| not violate Section 16-115A. An applicant
that seeks to serve | 11 |
| residential or small
commercial retail customers may state in | 12 |
| its application for
certification any limitations that will be | 13 |
| imposed on the
number of customers or maximum load to be | 14 |
| served.
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| (d) The Commission shall grant the application for a
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| certificate of service authority if it makes the findings set
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| forth in this subsection
based on the verified
application and | 18 |
| such other information as the applicant may
submit:
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| (1) That the applicant possesses sufficient
technical, | 20 |
| financial and managerial resources and
abilities to | 21 |
| provide the service for which it seeks a
certificate of | 22 |
| service authority. In determining the
level of technical, | 23 |
| financial and managerial resources
and abilities which the | 24 |
| applicant must demonstrate, the
Commission shall consider | 25 |
| (i) the characteristics,
including the size and financial | 26 |
| sophistication, of the
customers that the applicant seeks |
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| to serve, and (ii)
whether the applicant seeks to provide | 2 |
| electric power and
energy using property, plant and | 3 |
| equipment which it owns,
controls or operates;
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| (2) That the applicant will comply with all
applicable | 5 |
| federal, State, regional and industry rules,
policies, | 6 |
| practices and procedures for the use,
operation, and | 7 |
| maintenance of the safety, integrity and
reliability, of | 8 |
| the interconnected electric transmission
system;
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| (3) That the applicant will only provide service to
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| retail customers in an electric utility's service area
that | 11 |
| are eligible to take delivery services under this
Act;
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| (4) That the applicant will comply with such
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| informational or reporting requirements as the Commission
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| may by rule establish and provide the information required | 15 |
| by Section 16-112.
Any data related to
contracts for the | 16 |
| purchase and sale of electric power and
energy shall be | 17 |
| made available for review by the Staff of
the Commission on | 18 |
| a confidential and proprietary basis
and only to the extent | 19 |
| and for the purposes which the
Commission determines are | 20 |
| reasonably necessary in order
to carry out the purposes of | 21 |
| this Act;
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| (5) (Blank);
That if the applicant, its corporate | 23 |
| affiliates
or the applicant's principal source of | 24 |
| electricity (to
the extent such source is known at the time | 25 |
| of the
application) owns or controls facilities, for public | 26 |
| use,
for the transmission or distribution of electricity to
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| end-users within a defined geographic area to which
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| electric power and energy can be physically and
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| economically delivered by the electric utility or
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| utilities in whose service area or areas the proposed
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| service will be offered, the applicant, its corporate
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| affiliates or principal source of electricity, as the
case | 7 |
| may be, provides delivery services to the electric
utility | 8 |
| or utilities in whose service area or areas the
proposed | 9 |
| service will be offered that are reasonably
comparable to | 10 |
| those offered by the electric utility, and
provided | 11 |
| further, that the applicant agrees to certify
annually to | 12 |
| the Commission that it is continuing to
provide such | 13 |
| delivery services and that it has not
knowingly assisted | 14 |
| any person or entity to avoid the
requirements of this | 15 |
| Section. For purposes of this
subparagraph, "principal | 16 |
| source of electricity" shall
mean a single source that | 17 |
| supplies at least 65% of the
applicant's electric power and | 18 |
| energy, and the purchase of
transmission and distribution | 19 |
| services pursuant to a
filed tariff under the jurisdiction | 20 |
| of the Federal Energy
Regulatory Commission or a state | 21 |
| public utility
commission shall not constitute control of | 22 |
| access to the
provider's transmission and distribution | 23 |
| facilities;
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| (6) With respect to an applicant that seeks to serve
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| residential or small commercial retail customers, that
the | 26 |
| area to be served by the applicant and any
limitations it |
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| proposes on the number of customers or
maximum amount of | 2 |
| load to be served meet the provisions
of Section 16-115A, | 3 |
| provided, that the Commission can
extend the time for | 4 |
| considering such a certificate
request by up to 90 days, | 5 |
| and can schedule hearings on
such a request;
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| (7) That the applicant meets the requirements of | 7 |
| subsection (a) of Section
16-128; and
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| (8) That the applicant will comply with all other
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| applicable laws and regulations.
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| (e) A retail customer that owns a cogeneration or | 11 |
| self-generation facility
and that seeks certification only to
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| provide electric power and energy from such facility to
retail | 13 |
| customers at separate locations which customers are
both (i) | 14 |
| owned by, or a subsidiary or other corporate
affiliate of, such | 15 |
| applicant and
(ii) eligible for delivery services, shall be | 16 |
| granted a
certificate of service authority upon filing an | 17 |
| application
and notifying the Commission that it has entered | 18 |
| into an
agreement with the relevant electric utilities pursuant | 19 |
| to
Section 16-118.
Provided, however, that if the retail | 20 |
| customer owning such cogeneration or
self-generation facility | 21 |
| would not be charged a transition charge due to the
exemption | 22 |
| provided under subsection (f) of Section 16-108 prior to the
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| certification, and the retail customers at separate locations | 24 |
| are taking
delivery services in conjunction with purchasing | 25 |
| power and energy from the
facility, the retail customer on | 26 |
| whose premises the facility is located shall
not thereafter be |
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| required to pay transition charges on the power and energy
that | 2 |
| such retail customer takes from the facility.
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| (f) The Commission shall have the authority to
promulgate | 4 |
| rules and regulations to carry out the provisions
of this | 5 |
| Section. On or before May 1, 1999, the Commission
shall adopt a | 6 |
| rule or rules applicable to the certification of
those | 7 |
| alternative retail electric suppliers that seek to serve
only | 8 |
| nonresidential retail customers with maximum electrical
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| demands of one megawatt or more which shall provide for (i)
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| expedited and streamlined procedures
for certification of such | 11 |
| alternative
retail electric suppliers and (ii) specific | 12 |
| criteria which,
if met by any such alternative retail electric | 13 |
| supplier, shall
constitute the demonstration of technical, | 14 |
| financial and
managerial resources and abilities to provide | 15 |
| service required
by subsection (d) (1) of this Section, such as | 16 |
| a requirement
to post a bond or letter of credit, from a | 17 |
| responsible surety
or financial institution, of sufficient | 18 |
| size for the nature
and scope of the services to be provided; | 19 |
| demonstration of
adequate insurance for the scope and nature of | 20 |
| the services to
be provided; and experience in providing | 21 |
| similar services in
other jurisdictions.
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| (Source: P.A. 90-561, eff. 12-16-97; 91-50, eff. 6-30-99.)
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| Section 99. Effective date. This Act takes effect upon | 24 |
| becoming law.
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