DR 98-084 PUBLIC SERVICE COMPANY OF NEW HAMPSHIRE Special Contract No. NHPUC-140 Shaw's Supermarket, Inc. Order Nisi Approving Special Contract No. NHPUC-140 O R D E R N O. 22,964 June 29, 1998 On May 15, 1998, Public Service Company of New Hampshire (PSNH) filed with the New Hampshire Public Utilities Commission (NHPUC or Commission) a special contract, NHPUC-140, between PSNH and Shaw's Supermarkets, Inc. (Shaw's) to become effective June 1, 1998. The purpose of this filing is to assist NEPOOL in ensuring an adequate supply of electricity in the region this summer. NHPUC-140 provides benefits to PSNH, its other customers and the New England region by enabling PSNH to maintain 715 kilowatts (kW) of interruptible load, thereby helping PSNH to prevent a potential summer capacity problem. Under this agreement, Shaw's would receive a payment of $2 per kW of interruption, and would not be penalized for its failure to interrupt when called upon by NEPOOL. NHPUC-140 allows eleven of Shaw's locations to receive service under NEPOOL Type 5 Interruptible Service Rate N-5 (Rate N-5). Rate N-5 requires each customer to designate a minimum of 100 kW of load as interruptible. Each of Shaw's locations is able to provide only 65 kW of interruptible load, but those locations in total can provide 715 kW of interruptible load. NHPUC-140 provides for a waiver of the 100 kW minimum for each location. Staff has reviewed the filing and recommends approval of this contract based upon the fact that it will enable PSNH to have 715 kW of interruptible load that would not otherwise be available for interruption, thereby helping to prevent a potential capacity problem for the supply of electricity in New England this summer. Staff, however, has concerns that there may be other customers who are eligible for interruptible service but who do not qualify under the tariffed rate, Rate N-5, and that a change in the tariffed rate's eligibility criteria may be warranted. The Commission has reviewed Staff's recommendation and finds that the special contract, NHPUC-140, between PSNH and Shaw's is in the public interest. The Commission also agrees with Staff that further information from PSNH is warranted regarding the eligibility of other customers for the tariffed rate, Rate N-5. Such information should include an estimate of the number of customers who are situated similarly to Shaw's, whether those customers have been contacted, and the feasibility and costs of modifying Rate N-5 to make it available to customers with a load less than 100 kW. Based upon the foregoing, it is hereby ORDERED NISI, that Special Contract No. NHPUC-140 between PSNH and Shaw's as filed on May 15, 1998 is APPROVED; and it is FURTHER ORDERED, that PSNH file a report with the Commission, by July 15, 1998, addressing the customer and eligibility concerns raised by Staff and described in our analysis above; and it is FURTHER ORDERED, that PSNH file with the Commission a report, by October 1, 1998, indicating how often NEPOOL called for curtailment of interruptible load and the response of the customer, including the level and duration of interruption; and it is FURTHER ORDERED, that pursuant to N.H. Admin. Rules PUC 203.01, PSNH shall cause a copy of this Order Nisi to be published once in a statewide newspaper of general circulation, such publication to be no later than July 7, 1998 and to be documented by affidavit filed with this office on or before July 14, 1998; and it is FURTHER ORDERED, that any interested party may file written comments or request an opportunity to be heard in this matter no later than July 10, 1998; and it is FURTHER ORDERED, that this Order Nisi will be effective on June 30, 1998, unless the Commission provides otherwise in a supplemental order issued prior to the effective date. In the event that the Commission determines otherwise as a result of comments filed in opposition to this order, the billing would be subject to a full refund. By order of the New Hampshire Public Utilities Commission this twenty-ninth day of June, 1998. __________________ _____________________ ___________________ Douglas L. Patch Bruce B. Ellsworth Susan S. Geiger Chairman Commissioner Commissioner Attested by: Thomas B. Getz Executive Director and Secretary