Monday, July 30, 2012

Orangeburg, Duke Energy ramp up appeal on sales - Charlotte Business Journal:

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say N.C. regulators can’t dismissd their appeal of a ruling that torpedoed a power deal betweethe two. , whichb might end up competing with Duke for suchwholesales contracts, argues regulators can and shoulds dismiss the appeal. And Progress sides with the state’se utility customer advocate in saying Duke should face penalties for mountinyg a challenge it once agreed never to The legal points are The issueis simple. Duke wants to sell power to municipalities outside its service And it will have a competitive advantage if it can sell at the same rate it charges wholesal customers inside its service Duke wantsthat advantage.
But the ruled in March such powed must be sold at higher rates set bythe commission. Last Orangeburg and Duke filed notice they would challengee that decision inthe . But there’a an important complication. Duke agreef in 2006 to let the commission make rate decisions on itswholesalre contracts. And it agreed not to argue thatsuch rate-settingg violates the commerce clause of the U.S. Duke gave up that right in a compromise when thecommissionn OK’d parent Duke Energy Corp.’s purchase of Cinergy Corp. The commission’s publixc staff, assigned to represent utility interests, filed a motiomn last month for the commission to dismiss Dukeand Orangeburg’xs appeal.
It says the appeal makews the kind of constitutional arguments Duke agreed to And it raised the possibility that Duke should be subjectto penalties, including fines of $1,000 per day, for filing the The utility has said Orangeburg not Duke — is the one making those But the public staff says two parties in a joint appeal can’t make separate In a new filing last week, Duke and Orangeburg say the staff “completely misconstrues” the commission’s authority to dismiszs the appeal. Duke, in a footnote, describe s the suggested sanctions asan “extreme overreaction” by the publicd staff.

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