The utility’s original proposal submitted earlier this year planned to double the amount of solar energy credits bought through long-term contracts. But that didn’t change the percentage of solar energy within its mix, which remained at 0.5%, the minimum required by the state’s Alternative Energy Portfolio Standards.
The Energy Justice Advocates, which in addition to POWER Interfaith includes the Clean Air Council, PennEnvironment, the Sierra Club, Physicians for Social Responsibility Pennsylvania and Vote Solar, wanted PECO to do more than just purchase credits and intervened in the case. The groups’ expert testimony argued that had PECO done more than simply purchase credits in the past, it could have saved between $67 and $89 million for customers during the current default service program, which expires at the end of May 2025.
The Energy Justice Advocates also emphasized the decreasing costs of wind and solar technologies, which are making these sources increasingly competitive with fossil fuels. So by including wind and solar in the mix of sources, which are primarily nuclear and natural gas, the group said ratepayer costs would be lowered.
PECO spokesman Brian Ahrens said the utility listened to the testimony of all the intervenors before adjusting the plan and resubmitting it to the PUC, which approved the plan Thursday.
“This new program is our way of working to ensure that we’re purchasing energy at the least cost possible over time,” Ahrens said.
Ahrens said 25 MW of solar keeps the renewable input at about 1% of the utility’s total energy mix.
“We considered the risks and determined that a project of this size would not have an adverse impact on our customers,” Ahrens said.
The default service plan approved by the PUC last week, which runs from June 1, 2025 to May 31, 2029, also adds a new item to the bills of those who opt out of the default program.
Customers who purchase electricity through a third party will have a “price-to-compare” calculation on their bills, meaning they will be able to compare what they are paying to what they would pay if they had remained a PECO customer. Typically, PECO customers pay less.
“We were pleased that the PUC has approved our latest [default service plan], which primarily outlines how we’re purchasing electricity for our nonshopping customers for the next four years,” said Ahrens.