ORDER NO. 98-280

ENTERED JUL 13 1998

This is an electronic copy.

BEFORE THE PUBLIC UTILITY COMMISSION

OF OREGON

UE 102

DISPOSITION: MOTION FOR PUBLIC CONFERENCE GRANTED

On June 15, 1998, the Industrial Customers of Northwest Utilities (ICNU) and the Commercial Energy Alliance (CEA) filed a motion requesting that the Commission hold a public conference in this proceeding during a period scheduled for settlement conferences. PGE filed a response stating that it does not object to the conference but believes that the decision on whether to hold one should not be made until after the settlement conferences.

The Commission believes that a public conference will be helpful to the proceeding and thus grants the motion. However, we will structure the conference rather differently than ICNU/CEA requests. The specifics are set out below. The accompanying notice gives the date, time, and place.

Purpose of the Conference

The Commission intends that the public conference be primarily an opportunity for PGE and the parties who have proposed alternative plans to explain and support their positions. Specifically, we ask these parties to outline the features of the plan they support and assess the plan in relation to several questions on key issues set out below. They should also advise the Commission as to areas of agreement or disagreement among the parties on the issues. The Commission may ask questions and indicate areas for further development by the parties in subsequent testimony and briefs. This analysis and interchange will aid the parties in focusing their energies during the remainder of the proceeding and will be of considerable value to the Commission in making its decision.

This structure is not precisely what ICNU/CEA sought in making the motion. It intended that the public conference be, in part at least, an opportunity for the Commission to provide direction to the parties on its preferred approach to the issues. The parties could then use the Commission’s comments as a catalyst for narrowing the issues and possibly reaching a settlement. The Commission is not, however, ready to provide such detailed direction. The issues in this case are very complex and important. We have a lengthy and thorough procedure in place to develop a complete record that will form the basis for our decisions. Much of the testimony will not have been filed by the time of the public conference, and we will not have had the benefit of the parties’ cross-examination and briefs. Specific direction on the major issues is thus premature. The process is better served if we add to our information now rather than take a firm stand which might inhibit additional development of evidence and argument on these important issues.

We are not suggesting, however, that we will merely be passive observers at the public conference. We will ask questions and may offer comments about the issues. The parties will come away, we believe, with a better understanding of our focus in this proceeding. They will thus be able to direct their later submissions, such as their rebuttal testimony, to address our concerns.

Structure of the Public Conference

The conference will be scheduled for one-half day. We want the participants to focus on the PGE plan and the three alternative plans developed by the staffs of the PUC and Oregon Office of Energy, the Oregon Intervenor Coalition, and ICNU/CEA. Proponents of each of the four plans will be given 30 minutes to address the issues set out in this order. Proponents must decide how to divide up that time period in a way that addresses the issues set out in this order and allows time for questions and comments from the Commission.

At the end of the approximately two-hour period described above, other parties who have filed testimony in the case will be given an hour to comment. We ask that those comments also focus on the specific proposals before us and the issues set out in this order.

We want to emphasize that the public conference is not a public comment session. Only representatives of named parties who have filed testimony will be allowed to make presentations or comments. We have already provided substantial opportunity for public comment in this matter. We conducted four public comment sessions in different locations attended by more than 150 people, many of whom provided oral or written statements. We have also received more than 150 additional written comments. We want to use this public conference to obtain information from the parties on the plans before us and to share our views with them as described above.

Issues

We ask the proponents of the four plans to address the following issues in relation to the plan they support. We are less interested in an abstract discussion of these issues than in an explanation of how a particular plan will deal with the questions. After we have reviewed the testimony to be filed by Staff and the intervenors in July, we may add to the list in a later memorandum. The participants should also be prepared to explain how the plans conform to the Governor’s "Statement of Principles" and the purposes and principles set out in House Bill 3747 referred to in the October 28, 1997, Memorandum issued by the Administrative Law Judge.

What are the implications of:

Offering portfolio access to some or all customers.

Offering direct access to some or all customers.

Retaining selected generating resources.

Retaining metering, billing, and collection as PGE’s responsibility, as opposed to structuring them as unregulated functions supplied through market competitors.

ORDER

IT IS ORDERED that the request for a public conference is granted as set out in this order.

Made, entered, and effective ____________________________.

A party may request rehearing or reconsideration of this order pursuant to ORS 756.561. A request for rehearing or reconsideration must be filed with the Commission within 60 days of the date of service of this order. The request must comply with the requirements of OAR 860-014-0095. A copy of any such request must also be served on each party to the proceeding as provided by OAR 860-013-0070. A party may appeal this order to a court pursuant to ORS 756.580.