Determination of additional resource needs and utility avoided costs; public hearing (Repealed)

(a) The Department shall conduct a public hearing on the filings made pursuant to Section 16-243a-2 (a) of these regulations, and shall, within 90 days, render a decision on the appropriate amount of additional resources, if any, to be solicited from private power producers and or private power providers by each electric public service company. (b) Upon conclusion of the public hearing pursuant to Section 16-243a-3 (a) of these regulations and, if the Department finds additional capacity resources are necessary, the Department shall render a decision which shall include, without limitation, the following determinations: (1) The anticipated amount and characteristics of additional capacity resources to be solicited from private power producers and the avoided costs, based on the proxy resource, for energy and capacity for the next ten, twenty, and thirty year periods; (2) The proposed weighting of criteria used by each electric public service company for scoring proposals of private power producers, including, without limitation: price, including ratepayer impact; timing; quality of output; likelihood of project success; impact on utility system, including reliability, safety, and fuel use; and likely environmental impacts; and (3) The proposed factors to be included in each electric public service company request for proposal for resource additions from private power producers needed to meet capacity requirements, including but not limited to, the following factors: pricing, including ratepayer impact; location and size of the proposed facility; fuel type; operational characteristics; date of commercial operation; interruptibility of generation at the request of the electric public service company; likely environmental impact and any other factors deemed appropriate by the Department. (c) If the Department finds that it would be appropriate for the electric public service company to seek electricity conservation and demand management measures from private power providers, in addition to or in lieu of electricity generation resources, whether or not a finding has been made pursuant to Section 16-243a-3 (b) of these regulations that additional capacity resources are necessary, the Department shall render a decision which shall include, without limitation, the following determinations: (1) The anticipated amount, type and characteristics of conservation and demand management resources to be solicited by the electric public service company from private power providers and the cost basis upon which payments shall be made; (2) The specific method each electric public service company shall use in obtaining conservation or demand management measures from private power providers; (3) The manner of selection and criteria for weighting of factors to be used by the electric public service company in evaluating proposals from private power providers, including, without limitation, the following criteria: price, including ratepayer impact; timing; quality of output; likelihood of project success; impact on utility system, including reliability, safety and fuel use, and likely environmental impacts; and (4) The proposed factors to be included in an electric public service company request for proposal for resource additions from private power providers needed to meet capacity requirements, including but not limited to the following factors: pricing, including ratepayer impact of payments; anticipated effect on electricity demand and energy requirements of the company; basis of measuring savings resulting from conservation and load management measures; impact on the company's electric system, including safety, stability and reliability; specific location and size; environmental impact; operational characteristics; date of commercial operation; applicability to various classes and groups of ratepayers; and any other factors deemed appropriate by the Department. (d) The Department shall review the conservation and load management plans of each electric public service company in conjunction with the forecast of loads and resources filed pursuant to Section 16-243a-2 of these regulations and the Department shall make, without limitation, the following determinations: (1) Which of the electric public service company's conservation and load management programs are cost efficient and consistent with the provisions of the state conservation and energy policy and with provisions of Section 16a-35k of the Connecticut General Statutes; (2) The amount and type of the electric public service company's proposed multi-year conservation and load management investments which qualify as investments for inclusion in the rate base of the company which may be recovered pursuant to Section 16a-49 of the Connecticut General Statutes; and (3) The interim accounting mechanism for recovery of conservation and load management investments pending determination in the company's next filed application for rate adjustment. (e) The appropriateness of the return on rate base requested by the electric public service company above its authorized rate of return for recovery of its approved multi-year conservation and load management investments as identified in Section 16-243a-2 (a) (5) shall be made by the Department in its consideration of the company's next application for amendment of rates. Such allowed return on the rate base for multi-year conservation and load management investments shall be at a rate of no less than one per cent and no greater than five per cent above the electric public service company's most recently authorized rate of return. (f) No costs incurred by an electric public service company in connection with any plan or program under which the company offers direct cash or energy source credit incentives or imposes undue economic burdens which are intended to promote the conversion of primary residential or commercial oil heating systems to electric heating systems shall be placed in the rate base of the electric public service company or included, directly or indirectly, as operating expenses of that company for the purposes of rate making.