Colorado regulators suspend proposed gas tariff affecting Center
The Colorado Public Utilities Commission put Public Service Company of Colorado’s proposed commercial gas schedule on hold for 120 days while an administrative law judge reviews supply and municipal resale questions.
The Colorado Public Utilities Commission voted Sept. 9 to suspend Public Service Company of Colorado’s proposed commercial large gas tariff, preventing it from taking effect while regulators review how the utility would sell gas to Center and other small municipal utilities for resale to customers.
The proposed tariff had been scheduled to take effect Sept. 14. The commission’s meeting record shows that it suspended the tariff for 120 days, opened a 30-day intervention period, set the matter for a hearing and referred it to an administrative law judge.
Under the PUC’s tariff guidance, a suspended tariff does not take effect during the suspension and hearing process. Interested parties can seek formal status in the case, while members of the public can submit comments separately, according to the commission’s participation guidance.
Why Center prompted the filing
PUC advisory staff said Public Service filed Advice Letter 1065 after a situation involving Center, whose municipal gas system has limited documented supply options. Staff described Center’s existing option as the utility’s backup-sales service under Public Service’s Schedule Firm Gas Transportation Service — Large.
Under that arrangement, staff said, Center pays the highest weekly average gas cost from the previous month for each dekatherm used by its customers during the current month. The proposed commercial large gas schedule would create another option for qualifying small municipalities that own gas infrastructure but lack other supply sources to buy Public Service’s gas for resale to end users.
What regulators will examine
Commission advisory staff protested the filing and recommended a hearing. Staff said the proceeding should examine whether municipal resale should have limits, how the tariff could affect municipalities beyond Center, and whether the proposal complies with commission rules and Colorado law.
The administrative law judge will develop a record for the commission to consider. The commission has not decided whether the proposed schedule should take effect, be changed or be rejected.