Katrina McMurrian, CCIF Executive DirectorNASUCA 2015 Mid-Year Meeting

Philadelphia, PAJune 8, 2015

The Evolving Distribution System Helping Consumers Navigate Access to

Data, Products & Services

CCIF Purpose

• To engage state commissioners, consumer advocates, and electric companies (“3 core communities”) to develop mutually agreeable solutions to energy challenges where possible.

• To advance productive energy policy debate in a non-adversarial environment.

• To achieve a clearer understanding of—and appreciation for—each other’s perspectives and positions.

• To share key takeaways from the three core groups with the broader energy stakeholder community.

• To demonstrate the leadership of these three core groups on a range of important energy topics.

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CCIF Executive Committee

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Lisa Polak EdgarFlorida PSC Commissioner & NARUC President

Bob NelsonMontana Consumer Counsel & NASUCA President

David K. OwensEEI Executive Vice President of Business Operations & Regulatory Affairs

CCIF Advisory Committee – Commissioners

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Robert S. KenneyChairmanMissouri Public Service Commission

Betsy WerginCommissionerMinnesota Public Utilities Commission

TBDCommissionerPSC

CCIF Advisory Committee – Consumer Advocates

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Simon ffitchSr. Asst. AG & Public Counsel Division ChiefWashington State Attorney General’s Office

Elin Swanson KatzConsumer CounselConnecticut Office of Consumer Counsel

J.R. KellyPublic CounselFlorida Office of Public Counsel

CCIF Advisory Committee – Utility Reps

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Gregory BollomAssistant Vice President – Energy PlanningMadison Gas & Electric Company

Wayne HarbaughVice President of Pricing & Regulatory ServicesBaltimore Gas & Electric Company

Phillip R. MayPresident & CEOEntergy Louisiana & Entergy Gulf States Louisiana

CCIF Signature Process

• Large, open kickoff event to introduce a topic and initiate discussion among 3 groups; – Join us: Saturday, Nov. 7, 2015 in Austin, TX

• Series of smaller, invitation-only summits where the 3 groups engage in facilitated dialogue; and – Join us: probably March-May 2016

• Report to share key takeaways with the broad stakeholder community and to serve as a foundation for outreach and additional dialogue.

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CCIF Success – Grid Modernization

• Nov. 2010 Kick-Off: NARUC & NASUCA Annual Mtgs. in Atlanta

• Spring 2011 Summits: Phoenix, New Orleans & Baltimore

• July 2011 Report: 30 consensus principles of 74 participants

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CCIF Success – Regulatory Process

• Nov. 2011 Kick-Off: NARUC & NASUCA Ann. Mtgs. in St. Louis

• Spring 2012 Summits: Dallas, Atlanta & Chicago

• Key Themes: 1) Transparency2) Communication3) Prioritization4) Collaboration

• July 2012 Report: Key takeaways from 71 participants

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CCIF Success – DER (DG1)

• Nov. 2012 Kick-Off: NARUC & NASUCA Annual Mtgs. in Baltimore

• Spring 2013 Summits: San Francisco, Atlanta & Newark

• July 2013 Report: Consensus framework, including 21 consensus principles of 99 participants

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CCIF Success – DG2• Nov. 2013 Kick-Off: NARUC

& NASUCA Annual Mtgs. in Orlando

• Spring 2014 Summits: San Diego, Chicago & Boston

• July 2014 Report: Consensus framework, including 34 consensus principles of 109 participants

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CCIF Success – Evolving Dist. Syst.

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• Nov. 2014 Kick-Off: NARUC & NASUCA Annual Mtgs. in San Francisco

• Spring 2015 Summits: Phoenix, DC, Chicago

• July 2015 Report: Consensus framework, including 20 consensus principles of approx. 75 participants

Objectives for EDS Framework

• Maintain or improve safety, security, reliability, resilience

• Integrate new products, services, and technologies in a manner that maximizes grid-wide benefits at a just and reasonable cost

• Assist policymakers & stakeholders in evaluating and re-evaluating issues as new “things” introduced

• among many others

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Evolving Grid Drivers & Implications

• While recognizing DER as an important driver of changes to the distribution system, participants identified a long list of others, including:– technology innovation– consumer engagement– policies such as RPS, etc.– environmental regulations– preservation of universal service

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Distribution System Planning & Operational Issues

• Policies should preserve or enhance consumer value, safety, reliability, resilience, infrastructure security, and cybersecurity.

• Policymakers should “consider” the role of utilities in the development & deployment of new things.

• Distribution system planning should:– result in just and reasonable rates for all consumers – evolve to reflect the increased integration of new things– with respect to new things, be strategic and transparent; incorporate

stakeholder participation; and protect critical infrastructure and confidential data and information.

• Owners of DER, including consumers, utilities, and third parties, should plan for the potential that evolving technical, safety, and regulatory requirements may result in future financial impacts.

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Transactional Issues

• The costs and benefits of products, services, and technologies should be transparent, measurable, appropriately reflected in prices, and considered in relevant regulatory proceedings.

• Rules and transparent enforcement processes should be established to create equitable opportunities for new products, services, and technologies; avoid market manipulation; and resolve related complaints.

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Consumer Education & Protection Issues

• Long list of issues for which the collective “we” should be educating consumers

• Need to address the continued uncertainty about who has jurisdiction to provide certain protections with respect to new technologies as participants want consumer protection gaps filled and clear method for taking and resolving complaints

• Strong language re requiring “any entity with access to consumer data & information to have publicly available written privacy policies to protect against unauthorized access, disclosure, or sale”

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Jurisdictional Issues

• States should retain their exclusive authority to determine the role and operation of the distribution utility systems within their state’s current jurisdiction.

• States should “consider” whether to exert regulatory oversight over third-party providers of products, services, and technologies.

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Safety Issues

• Need to ensure safety…• Information should be provided to policymakers and

other stakeholders about how products, services, and technologies may potentially impact the costs and operation of the distribution utility system, the regulatory structure, and public safety.

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Value of Initiative

• Provides direct educational benefits.• Serves as a handy reference for participants as

issues arise in their jurisdictions.• Provides a resource for initiating dialogue with state

legislators, federal agencies, and numerous stakeholder groups.

• Demonstrates value of collaboration and that states are taking the lead on key energy issues.

• Makes challenging issues seem manageable.20

Next Steps

• Official release of report in July @ NARUC Mtgs.– Press release featuring statements of Executive

Committee members– Report posted to CCIForum.com– Panel in the NARUC Consumer Affairs Committee on

Sunday, July 12, at 1 PM, to highlight key issues• Outreach to stakeholders (federal government

agencies, large commercial customers, vendors, relevant associations, etc.)

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Next Steps

• CCIF’s 6th Annual Kickoff Forum– Collocated with NARUC & NASUCA Annual Meetings– Saturday, November 7, 2015, at 2–5 pm at the JW Marriott in

Austin, TX– Topic TBD– 1-night hotel stipends: Commissioners & consumer advocates

eligible but responsible for making own hotel reservations, including any additional nights to attend forum.

– Registration: Will open at CCIForum.com when NARUC meeting registration opens. No charge, but separate registration required.

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For More Info on CCIF

• Email: katrina@CCIForum.com• Phone: 615.905.1375• Website: www.CCIForum.com• Twitter: CCIForum

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NASUCA Member Feedback

• What did you think about the topic, the participation, the process? Suggestions to improve?

• What are other current topics in the electric arena for which the 3 groups could take up and perhaps develop consensus?

• Have the CCIF processes helped you, your organization, or NASUCA in forming positions or identifying topics for further examination on related issues? If so, how?

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Katrina McMurrian, CCIF Executive DirectorNASUCA 2015 Mid-Year Meeting

Philadelphia, PAJune 8, 2015

The Evolving Distribution System Helping Consumers Navigate Access to

Data, Products & Services