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NATIONAL ASSOCIATION OF STATE UTILITY CONSUMER ADVOCATES
RESOLUTION
Urging the Adoption of Universal Service Protections That
Include Programs for Assisting in the Affordability of Electric
Service,
as Part of Any Electric Restructuring Legislation or Regulations
WHEREAS, universal electric service is a basic necessity of modern
life. Universal service therefore must be a key component of our
public policy;
WHEREAS, universal service, means, at a minimum, access to and
availability of firm, reliable power supply, which includes generation,
transmission, and distribution services, at affordable rates, to
all who desire those services;
WHEREAS, if the electric industry is restructured, the most economically
vulnerable customers may be placed at risk because market forces
and other impediments could cause such customers to no longer receive
service or to have their service terminated due to unaffordable
rates and prices, poor credit, or redlining;
WHEREAS, if low income customers cannot afford their electric bills
and are disconnected, they no longer contribute to the fixed cost
base of the electric supply and delivery system, and therefore all
customers may be harmed;
WHEREAS, it is in the best interest of all customers and it is
good public policy to keep the customers least able to afford electric
service on the system by means of appropriate low income assistance
programs available for customers who need them;
WHEREAS, currently, programs such as percentage of income payment
plans, low income or lifeline rates, LIHEAP and Weatherization help
to serve some of this universal service goal;
WHEREAS, if the electric utility industry is restructured, lawmakers
should assure that programs to implement universal service are adequately
funded and are in keeping with the competitive framework in order
to protect all consumers from harms in a restructured electric market;
WHEREAS, in a competitive market, costs and related charges for
low income energy assistance programs must be designed to be recovered
from all utility customers or the even broader base of all taxpayers
in a non-bypassable and competitively neutral manner;
WHEREAS, the concept of affordable rates may include rate designs
and explicit funding mechanisms that permit residential customers
to obtain service at rates that they can afford to pay;
WHEREAS, such an approach should allow low-income consumers to
obtain adequate services in a competitive market at affordable rates
and prices,
WHEREAS, low income assistance is just one part of universal service.
Other consumer protections are necessary, such as a default provider,
to secure firm power at the lowest reasonable cost for all customers
not served by other providers;
WHEREAS, NASUCA has long supported low income and other universal
service programs; and,
THEREFORE, BE IT RESOLVED, that the National Association of State
Utility Consumer Advocates urges the adoption of universal service
protections that would include programs for making adequate electric
service available at rates and prices which are affordable in any
electric restructuring legislation or regulations;
THEREFORE, BE IT FURTHER RESOLVED, that NASUCA authorizes its Executive
Committee to develop specific positions and to take appropriate
actions consistent with the terms of this resolution. The Executive
Committee shall notify the membership of any action taken pursuant
to this resolution.
Approved by NASUCA:
Charleston, South Carolina
Place
June 11, 1997
Date
Submitted by:
NASUCA Electricity Committee
Larry Frimerman (OH), Chair
Rajnish Barua (DE)
Anne Becker (IN)
Barry Cohen (OH)
Nancy Vaughn Coombs (SC)
Steve Corneli (MN)
Anne Curtin (NY)
George Dean (MA)
Jennifer Duane (DC)
William Fields (MD)
Margaret Force (NC)
Walker Hendrix (KS)
Bruce Johnson (CT)
Robert Kelter (IL)
Lewis Mills (MO)
Thomas Nicholson (VA)
Charles Noble (NM)
Gerry Norlander (NY)
Mark Payne (NC)
William Perkins (ME)
Blossom Peretz (NJ)
Irwin Popowsky (PA)
Fred Schmidt (NV)
Lynda Spears (IN)
Ben Stead (IA)
Kenneth Traum (NH)
National Association of State Utility Consumer Advocates
8380 Colesville Road, Suite 101, Silver Spring, MD 20910
Phone: (301) 589-6313 Fax: 589-6380
e-mail: nasuca@nasuca.org |