DR 98-113
CONNECTICUT VALLEY ELECTRIC COMPANY, INC.
Special Contract No. 9
Claremont Foundry, Inc.
Order Nisi Approving Special Contract No. 9
O R D E R N O. 22,977
July 13, 1998
On June 24, 1998, Connecticut Valley Electric Company,
Inc. (CVEC or Company) filed with the New Hampshire Public
Utilities Commission (NHPUC or Commission) a special contract,
Contract No. 9, between CVEC and Claremont Foundry, Inc. (the
Foundry or the Customer) to become effective July 1, 1998.
The purpose of this special contract is to maximize the
value of electric service to the Foundry without harming
non-participant customers of CVEC; other customers' rates are not
expected to be higher as a result of this agreement. This result
is expected to be obtained through the use of a flexible
operating schedule that allows the Customer to utilize service
during low-cost periods and avoid, to the greatest extent
possible, use of electric service during high-cost periods.
The Company proposes this special contract rather than
a generally applicable tariff because the Foundry is currently
served under special contract and because of the extremely
rigorous, daily operating schedule and supplemental interruption
and prescheduling abilities contained in this special contract.
CVEC avers that the Foundry has been very successful in making
use of the existing special contract and expanding sales and
employment while keeping its product prices competitive. Either
party may exercise its right to terminate this agreement on one
month's written notice.
Staff has reviewed the filing and recommends approval
of this contract based upon the fact that it will enable CVEC to
provide electric service to the Foundry while allowing the
Company to better manage its load and minimize capacity costs.
Staff recommends that the Company file with the Commission a
report indicating how the Foundry has complied with the
interruption provisions contained in the contract.
The Commission has reviewed the filing and Staff's
recommendation and finds that the special contract, Contract No.
9, between CVEC and the Foundry is in the public interest. We
agree with Staff that the Company should file with the Commission
a report that indicates the number of times that CVEC requested
interruption service and the response of the Customer.
Based upon the foregoing, it is hereby
ORDERED NISI, that Special Contract, Contract No. 9
between CVEC and Claremont Foundry as filed on June 24, 1998 is
APPROVED; and it is
FURTHER ORDERED, that CVEC file a report with the
Commission, by October 1, 1998, and subsequently on each October
1 thereafter, as long as the contract is in effect, indicating
how often the Company called for interruption 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 20, 1998
and to be documented by affidavit filed with this office on or
before July 27, 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 August 3, 1998; and it is
FURTHER ORDERED, that this Order Nisi will be effective
on August 12, 1998, unless the Commission provides otherwise in a
supplemental order issued prior to the effective date.
By order of the New Hampshire Public Utilities
Commission this thirteenth day of July, 1998.
__________________ _____________________ ___________________
Douglas L. Patch Bruce B. Ellsworth Susan S. Geiger
Chairman Commissioner Commissioner
Attested by:
Thomas B. Getz
Executive Director and Secretary