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HomeMy WebLinkAbout20050131Order No 29698.pdfOffice of the Secretary Service Date January 31 2005 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF P ACIFICORP' APPLICATION FOR APPROVAL OF REVISIONS TO THE COMPANY' CUSTOMER GUARANTEE RULE 25 AND SCHEDULE 300 ORDER NO. 29698 CASE NO. PAC-04- On December 2, 2004, PacifiCorp submitted by electronic filing various changes in customer guarantees and performance standards using a tariff advice proceeding. Because of the significant changes proposed by the Company, the Commission Staff recommended processing the proposed changes using Modified Procedure with a comment period. In Order No. 29679 the Commission ordered the use of Modified Procedure with a comment period ending January 19 2005. The only comments received were those of the Commission Staff. In this Order the Commission approves the Company s Application with some minor changes. BACKGROUND At the time of the merger between PacifiCorp and ScottishPower, the Company agreed to implement seven Performance Standards and eight Customer Guarantees. See Case No. P AC-99-1. The Company committed to a five-year term for the program, which expires on March 31 , 2005. According to the Company s current Application, the Customer Guarantee Program has been very successful with a success rate in meeting the guarantee commitments in Idaho of 99.9%. The Company now proposes to continue both the Customer Guarantee Program and the Performance Standards Program citing: positive customer, employee, and regulatory feedback regarding the service standards; the process improvements that have resulted from the service standards; and the desire to maintain the Company s focus on providing excellent customer service. THE APPLICATION The Company requested an effective date for the proposed revisions of April 1 , 2005 as the current standards expire on March 31 , 2005. Additionally, the Company requested approval of the proposed revisions by January 31 , 2005 in order to train employees and make the necessary system changes to implement the revisions. ORDER NO. 29698 Customer Guarantee Program The Company is proposing several improvements to the current customer guarantees and the elimination of one guarantee. The Company proposes a three-year duration for the modified program, with an expiration date of March 31 , 2008, and including an efficacy review of the program by the Company and Commission Staff at that time to determine what modifications should be made in the future. Under the modified program the Company will guarantee the following services: 1) restoring supply after an outage; 2) meeting appointments; 3) connecting new service; 4) providing an estimate; 5) responding to billing inquiries; 6) resolving meter problems; and 7) providing notice on planned interruptions. The Company seeks to eliminate the existing Customer Guarantee No., Responding to Power Quality Complaints. Network Performance Standards The Company proposes to retain four Network Performance Standards and eliminate one. According to the Application the Company proposes:1) to improve SAID I (system average sustained interruption duration index) results by 6% within the three years to achieve a target of SAIDI of no more than 206.3 minutes; 2) to improve SAIFI (system average sustained interruption frequency index) results by 6% within the three years to achieve a target of SAIFI of no more than 2.34 events; 3) to select five under-performing circuits in Idaho on an annual basis and undertake corrective measures to reduce the CPI (circuit performance indicator) by 20% within two years; and 4) to restore power outages due to a loss of supply or damage to the Company s distribution system on average to 80% of customers within three hours.The Company seeks to eliminate the network performance standard relating to MAIFI (momentary average interruption frequency index). Customer Service Performance Standards The Company is proposing changes in the telephone performance standard and the complaint performance standard. The Application proposes to adjust the service level for telephone response from 80% of calls answered in 20 seconds, to 80% of calls answered in 30 seconds, and to focus on the quality of service that customers receive by monitoring customer satisfaction with the Company s Customer Service Associates and the quality of response the customers receive. The Company is also proposing changes to the complaint performance ORDER NO. 29698 standard to indicate that the Company will respond to at least 95% of Commission complaints within 30 days. STAFF COMMENTS Staff commends the Company on its willingness to continue monitoring its performance in several key areas. By establishing standards and guarantees, the Company has reinforced its commitment to maintaining and, where possible, improving customer relations and network service quality. Staff prepared "Attachment A" to its comments which summarizes the relevant merger commitments made by the Company, its performance with respect to those commitments, and how the proposed commitments compare to the existing commitments. Staff recommended that the Commission accept the Company s proposal, with four relatively minor changes/additions. First of all, in the Staffs Comments, Staff recommended that the Commission not approve the proposed revision regarding the definition of a "maj or event"(Staff Comments p. 5, Recommendation 4). However, subsequent to the filing of Staff Comments the Company provided additional information that the proposed definition is actually an accepted and officially adopted definition by the Institute of Electrical and Electronics Engineers, Inc. (IEEE). Therefore, Staff s recommendation is that Section 3, on Sheet 25RA refer to the "IEEE Guide for Electric Power Distribution Reliability Indices, Standard 1366tm- 2003." (Please see, Attachment 1 to this Memorandum). With regard to the Company s proposed changes to Customer Guarantees, Staff recommended approval of the changes provided that: (1) rather that stating that the Guarantees are applicable to all active metered residential, Schedule 23 and Schedule 23A Customers" that sheet 25R.1 be modified to list each schedule - Schedule 1 , 6A, 10 , 23A, and 36, in order to clarify the customer classes that the Guarantees apply to; and (2) rather that stating "two days (Customer Guarantee 7 - Notifying of Planned Interruptions) as proposed by the Company, that Sheet 25R.3 be modified to specify "two calendar days" in order to clarify the time period and to be consistent with other Guarantee provisions which reference "two working days" and "two calendar days. With regard to the Company s proposed changes to Network Performance Standards Staff recommended approval of the changes, including the elimination of the standard relating to Momentary Average Interruption Frequency Index (MAIFI) provided that the Company develops its alternative plan for full-system momentary detection and provides a specific ORDER NO. 29698 proposal to Staff as soon as possible. The Company has been measuring this index by breaker counts and has found that this does not result in an adequate measurement of MAIF!. The Company also believes that adding momentary detection to each circuit is cost-prohibitive and data-intensive to investigate using current technology. The Company proposes to manage momentary events within the delivery system and will rely on customer feedback to identify high momentary outage activity. The Company has assured the Staff that it remains committed to improving the network performance and customer concerns related to momentary events, and will delineate cost-effective methods for full-system momentary detection deployment. STAFF RECOMMENDATION Staff recommended that the Commission accept the Company s proposal provided that the following changes are made: (Attachment A shows the Staffs recommended changes/additions) 1. That all Customer Guarantees apply to customers served under Schedules , 10 , 23A, and 36 and that Sheet 25R.1 be modified to list those schedules. 2. That the Customer Guarantee regarding notification of planned interruptions (Sheet No. 25R.3) be modified to specify, "two calendar days. " 3. That the Company provides a specific proposal to continue monitoring momentary events as soon as possible. 4. That Sheet 25RA, Section 3 regarding the definition of "major event" refer to the "IEEE Guide for Electric Power Distribution Reliability Indices, Standard 1366tm-2003. DISCUSSION The Idaho Public Utilities Commission has jurisdiction over PacifiCorp, its Application for Approval of Revisions to the Company s Customer Guarantee Rule 25 and Schedule 300, and the issues involved in this case by virtue of Title 61 , Idaho Code and specifically Idaho Code ~~ 61-328, 61-503 , 61-507, and 61-528. Under Modified Procedure the Commission, after receiving comments, may set the matter for hearing or decide the matter and issue its order on the basis of the written positions before it. 'IDAPA 31.01.01.203. We note that the only party to comment in this case was the Commission Staff. It appears that the PacifiCorp s Performance Standards and Customer ORDER NO. 29698 Guarantee Program have been somewhat successful in helping to accomplish the intended goal of improving customer service in the Company s Idaho service area, as was envisioned when that program was implemented out of the PacifiCorp-ScottishPower merger. Weare pleased that the Company has elected to continue the program. Based upon the Application, the applicable law, and the comments, the Commission approves the Application of PacifiCorp to revise Customer Guarantee Rule 25 and Schedule 300, and to continue the Company s Performance Standards and Customer Guarantee program. Additionally, we find the changes recommended by the Commission Staff to be reasonable clarifications of the language in the Company proposed revisions and should be incorporated into the revised Rule 25 and Schedule 300. ORDER IT IS HERBY ORDERED that the Application of PacifiCorp to revise its Customer Guarantee Rule 25 and Schedule 300 is approved. The revisions shall take effect on April 1 2005 , and be effective through March 31 , 2008. Prior to its expiration, the Company and Commission Staff will review the efficacy of the program to determine what modifications should be made in the future. IT IS FURTHER ORDERED that the changes/additions (No. 1-4) listed above in the Staff Recommendation Section, and illustrated by Attachment A to this Order, shall be incorporated into the Company s revisions. ORDER NO. 29698 DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 3 / ~ day of January 2005. ~l~ MARSHA H. SMITH, COMMISSIONER ATTEST: ewell Co ission Secretary O:P ACE0407 dw2 ORDER NO. 29698 utahIm!r C. No. 28 First Revision of Sheet No. 2SR. Canceling Original Sheet No. 25R. ELECTRIC SERVICE REGULATION NO. 25 STATE OF IDAHO GENERAL RULES AND REGULATIONS CUSTOMER GUARANTEES This Rule provides general terms and conditions for the ,Company s Customer Guarantees which are I applica~le to all active metiore t';,;=tial. S~ hedule 23 and SdlGJuk 2JA Customers or Applicants utilizing the servIces of the Company~ c::_ \ - , ,,- ( / 10 :L ~ 2.. ~ Pr .3 I"") I1. CUSTOMER GUARANTEE CREDIT: For failure to meet a Customer Guarantee for Customer Guarantees 1 and 7, Customers must make a claim for compensation- Valid compensation c1ainis for ~'ustomer Guarantees 1 and 7 submitted within 30 days of the date of an outage will be credited to the- Customer's account. If the Company fails,to meet a Customer Guarantee for Customer Guarantees 2 through 6-aHd.CustomcrGuatantee" the credit will automatically be applied to the Customer s account. Where a Customer Guarantee applies to an Applicant ' the Company will mail the guarantee payment to the Applicant. See Schedule 300 for a description of the Customer Guarantee credits. DESCRIPTION OF CUSTOlVIER GUARANTEES: , (a) Customer Guarantee 1: Restoring Supply After An Outage In the event oian,_outage, the Company will restore a Customer' s electric ~upply within 24 hours-of being'rlotifiedexcept where: ~ .., .. (1) (2) (3) The Customer agreed to remain without supply; The Company offered the Customer a generator as 'an alternative means of supply; There were prob!ems or safety-related issues with the Customer internal equipment; or Specialized equipment was required to restore the supply. *(4) * Also see General Exceptions. (Continued) I Submitted Under Advice No. 04-1000 0,1 I ISS~D: December 2. 20041rfay .11,2000 EFFECTIVE: April.!. 2005July 1, 2000 ATTACHMENT A CASE NO. PAC-O4- ORDER NO. 29698 utah D IMlM - I.C. No. 28 First Revision of Sheet No. 2SR. Cancelin Original Sheet No. 2SR. DESCRIPTION OF CUSTOMER GUARANTEES: (continued) Cd) C:ustomer Cuarantee 4: Estimates For Nc"'y Supply (continued) (3)The CompGIlY "vas unable to contact the CustCI:ic: cr l'\pplicant at the addr~ss telephone number pro':ided by the Customer or Applicant; or The Company rescheduled the. appomtment \vith ;1t least 2 ~ hours of notice. *(4) * Also see General Exceptions. (e) Cus~omer Guarantee 5: Responding To Bill Inquiries The Company will respond to most billing inquiries at the time of the initial contact from the Customer. For those inquiries that require further investigation, the Company will investigate and respond to the Customer as soon as possible or at least within 10 workingdays. (t) Customer Guarantee 6: Resolving Meter Problems The Company will investigate and respond to reported problems with a Customer s meter or conduct a meter test and report the results to the Customer, within lQ3- working days. If more than one requested test is made in twelve months, the Customer will pay in advance a charge as specified in Schedule 300. (g) Customer Guarantee 7: Notifying Of Planned Interruptions c4~~ The Company will provide the Customer with at least two working ays notice prior to turning off power for planned inteITUptions except where: Ca. 1-b4~The Customer agreed to less than twoA'"f/orking days notice; The interruption was due to work on meters or a meter test; The interruption was a momentary inteITUption of less than 5 minutes; Perm.anent repairs were carried out within three working days .of completing tempOfaIj repairs followil'g an unplanned interruption; The Customer was notified of a planned interruption which did not occur~ or The safety of the public Company personnel or imminent failUre of Company , equipment is a factor leading to an immediate interruption to carry out repair work. (1) (2) (3) (4) (5) (6) * Also see General Exceptions (Continued) I Submitted Under Advice No. 04-1000 0'1 ISSUED: December 2. 2004Ma:r' .11,2000 EFFECTIVE: April L 2005July 1 , 2000 utahnlJL C. No. 28 First Revision of Sh~t Nd.25RA Cancelin Original Sheet No. 25R.4 DESCRIPTION OF CUSTOIVIER CV.:\.RANTEES: (continued) To receive a credit, a Customer must make a claim for compensation within 30 calendar days of the date of the planned interruption. (h) Customer Guaran ee 8: Responding To PO"WeT Quality Complaints The Company ,-viiI begin an investigation of power quality compIaillt and respond to the Custoiner \yithin scven \vorking daYG or explain il knO'.~;n problem to the Customer .withm five working days. GENERAL EXCEPTIONS: Payment for the failure to meet a Customer Guarantee shall not be made if any of the followinggeneral exceptions occur. (1) The ~ustomer or Applicant canceled .the requ~st ~dIor did not keep the ap?omtment. ThiS will mc1ude the Customer or ApplIcant notifymg the Company they did not want t.he '1 Company to start action, or take any further action. The . Customer or Applicant agreed that the acti~n taken by ,the Company met the ~ reqmrements of the guarantee. * ~ The Customer or Applicant did not provide nece~sary infonnation or supplied mcoITect information. Inability to access Company, Customer or Applicant s facilities beyond the control of the Company. , . An action . or default by someone other than a Company employee that is outside of the Company s control, for example, road closures. """ Major events, such as storms, as currently defined~ the Institute of Electrical and:~:~:C ~i";~;:fo~~~ (~=lct 9;," ;;'~ :: ~~~ f ~fe~~~~ supplies during a major event in another operating area or utility. Safety-related issues which preclude the Company from meeting the guarantees. Causes related to force majeure, which include but are not limited to: injunction or other decree or order of any court or governmental agency having jurisdiction, strikes or other labor disputes such as lockouts, slowdowns or work stoppages, sabotage, riot insurrection acts of the public enemy, fITe, flood, explosion, extraordinary action of the elements earthquake or other acts of God, or accidental destruction of or damage to facilities. (2) (3) (4) (5) (6) (7) (8~ (9) (Continued) I Submitted Under Advice No. 04-1000 0-1 ISSUED: December , 200tll\'lay 11 , 2000 EFFECTIVE: April!. 2005Julyl, 2000 ffi $. -....