220 Mass. Reg. 11.02

Current through Register 1523, June 7, 2024
Section 11.02 - General Definitions

For the purposes of 220 CMR 11.00, the terms set forth below shall be defined as follows, unless the context otherwise requires.

Affiliate means any "affiliated company" as defined in M.G.L. c. 164, § 85.

Aggregator means an entity that groups together electricity customers for retail sale purposes, except for public entities, quasi-public entities or authorities, or subsidiary organizations thereof, established pursuant to the laws of the Commonwealth.

Alternative Energy Producer means any person, firm, partnership, association, public or private corporation, or any agency, department, board, commission or authority of the Commonwealth or of a subdivision of the Commonwealth, that owns or operates a cogeneration facility or small power production facility as defined in M.G.L. c. 164, and does not engage in the retail sale of electricity other than sales to customers that are within the confines of an industrial park, which existed prior to March 1, 1982, and in which park there existed as of said date electrical generating capacity of more than 15 megawatts.

Ancillary Services means those functions that support generation, transmission, and distribution, including the following services:

(a) reactive power/voltage control;

(b) loss compensation;

(c) scheduling and dispatch;

(d) load following;

(e) system protection service; and

(f) energy imbalance service.

Applicant means any entity that has filed an application for licensure as a Competitive Supplier or Electricity Broker as required by the Massachusetts General Laws or by 220 CMR 11.00.

Basic Service means Default Generation Service provided on or after March 1, 2005 by a Distribution Company to a Customer who is not receiving Generation Service from a Competitive Supplier. The Department approved the use of the term "Basic Service" in D.T.E. 04- 115-A. Basic Service is also known as Default Generation Service or Default/Basic Generation Service.

Bill means a written statement from a Distribution Company or a Competitive Supplier to its Customer setting forth, for the billing period identified in the Distribution Company's tariff:

(a) the amount of electricity consumed or estimated to have been consumed;

(b) charges for Generation, Transmission, and Distribution Services, as appropriate;

(c) charges for Energy Efficiency and Renewable Resources;

(d) the Transition Charge, as appropriate; and

(e) any other charges.

Capacity means the load for which a generating unit, generating station, or other electrical apparatus is rated either by the user or by the manufacturer.

Competitive Supplier means an entity licensed by the Department to sell electricity and related services to Retail Customers, with the following exceptions:

(a) a Distribution Company providing Standard Offer Generation Service and Default/Basic Generation Service to its Distribution Customers; and

(b) a municipal light department that is acting as a Distribution Company.

Default Generation Service means the service provided by the Distribution Company to a Customer who is not receiving either Generation Service from a Competitive Supplier or Standard Offer Generation Service, in accordance with 220 CMR 11.04(9)(c) and the provisions set forth in the Distribution Company's Default Generation Service tariff on file with the Department. Default Generation Service is also known as Basic Service or Default/Basic Generation Service.

Demand-side Management (DSM) means any technology, measure, or action designed to decrease the kilowatt or kilowatthour use, or to alter the time pattern of that use by consumers of electricity.

Department means the Department of Public Utilities.

Distribution Company means a company engaging in the distribution of electricity to Retail Customers or owning, operating, or controlling Distribution Facilities; provided, however, a Distribution Company shall not include any entity that owns or operates plant or equipment used to produce electricity, steam, and chilled water, or any affiliate engaged solely in the provision of such electricity, steam, and chilled water, where the electricity produced by such entity or its affiliate is primarily for the benefit of hospitals and non-profit educational institutions, and where such plant or equipment was in operation prior to January 1, 1986.

Distribution Customer means a recipient of Distribution Service provided by a Distribution Company.

Distribution Facility means plant or equipment used for the distribution of electricity to Retail Customers and that is not a Transmission Facility, a cogeneration facility, a Generation Facility or a small power production facility.

Distribution Service means the delivery of electricity to the Customer by the Distribution Company over lines that operate at a voltage level typically equal to or greater than 110 volts and less than 69,000 volts.

Electric Company means a corporation organized under the laws of the Commonwealth for the purpose of making electricity by means of water power, steam power or otherwise and selling, or distributing and selling, or only distributing, such electricity within the Commonwealth, or authorized by special act so to do, even though subsequently authorized to make or sell gas; provided, however, that Electric Company shall not mean an alternative energy producer, and provided further, that an electric company shall not include any entity that owns or operates a plant or equipment used to produce electricity, steam, and chilled water, or any affiliate engaged solely in the provision of such electricity, steam, and chilled water, where the electricity produced by such entity or its affiliate is primarily for the benefit of hospitals and non-profit educational institutions, and where such plant or equipment was in operation prior to January 1, 1986.

Electric Service means the provision of Generation, Transmission, Distribution, or Ancillary Services.

Electricity Broker means an entity, including but not limited to an Aggregator, that facilitates or otherwise arranges for the purchase and sale of electricity and related services to Retail Customers, but does not sell electricity. Public Aggregators shall not be considered Electricity Brokers.

Energy means the amount of electricity used over a period of time, typically measured in kilowatthours.

Energy Efficiency means the implementation of an action, policy, or measure which entails the application of the least amount of energy required to produce a desired or given output and includes demand-side management and energy conservation services.

Generation Company means an entity engaging in the business of producing, manufacturing, or generating electricity for sale to Retail Customers.

Generation Facility means plant or equipment that is used to produce, manufacture, or otherwise generate electricity and that is not a Transmission Facility.

Generation Service means the provision of electricity and related services to a Retail Customer by a Competitive Supplier.

Independent System Operator or ISO means ISO New England, Inc. authorized by the Federal Energy Regulatory Commission to operate the New England bulk power system and administer New England's organized wholesale electricity market pursuant to the ISO Tariff and operation agreements with transmission owners.

Low-income Customers means those Customers who meet the low-income eligibility criteria set forth in 220 CMR 11.04(5).

Mitigation means all actions or occurrences that reduce the amount of money that a Distribution Company seeks to collect through the Transition Charge, including those amounts resulting both from matters within the Distribution Company's control and from matters not wholly within its control. Mitigation, in accordance with M.G.L. c. 164, §1G, includes, but is not limited to, the following:

(a) sales of Capacity, Energy, Ancillary Services, reserves, and emission allowances from Generating Facilities that are wholly or partly owned by the company;

(b) sales of Capacity, Energy, Ancillary Services, reserves, and emission allowances from Generating Facilities with which the Distribution Company has a purchased power agreement;

(c) adjustments to the company's minimum obligations under purchased power agreements that decrease such obligations, such as those that may be obtained through contract buy-out or renegotiation;

(d) Residual Value;

(e) sales and voluntary write-downs of company generation-related assets;

(f) any market value in excess of net book value associated with the sale, lease, transfer, or other use of the assets of the Distribution Company unrelated to the provision of Transmission Service or Distribution Service at regulated prices, including, but not limited to, rights-of-way, property, and intangible assets when the costs associated with the acquisition of the assets have been reflected in the Distribution Company's rates for regulated service; provided, however, that market values are based on the highest prices that such assets could reasonably realize after an open and competitive sale; and

(g) any allowed refinancing of stranded assets or other debt obligations as provided by law.

NEPOOL means the New England Power Pool and its successors.

New England Region means the geographic area consisting of the states Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island, and Vermont.

Public Aggregator means a municipality or group of municipalities that groups interested electricity consumers within its municipal boundaries to facilitate or otherwise arrange the purchase and sale of electricity pursuant to M.G.L. c. 164, § 134.

Renewable Resources means a type of Generation Facility or energy source including either:

(a) resources whose common characteristic is that they are nondepletable or are naturally replenishable but flow-limited, or

(b) existing or emerging non-fossil fuel energy sources or technologies that have significant potential for commercialization in New England and New York, and includes the following: solar photovoltaic or solar thermal electric energy; wind energy; ocean thermal, wave, or tidal energy; fuel cells; landfill gas; waste-to-energy which is a component of conventional municipal solid waste plant technology in commercial use; naturally flowing water and hydroelectric; and low-emission, advanced biomass power conversion technologies, such as gasification using such biomass fuels as wood, agricultural, or food wastes, energy crops, biogas, biodiesel, or organic refuse-derived fuel.

The following technologies or fuels shall not be considered Renewable Resources: coal, oil, natural gas except when used in fuel cells, and nuclear power.

Residual Value means the value of Electric Company assets, not including the income that may be obtained through Generation Facility operation.

Retail Access means the use of Transmission and Distribution Facilities owned by a Transmission Company or a Distribution Company to transmit or distribute electricity from a Competitive Supplier to a Retail Customer.

Retail Access Date means March 1, 1998.

Retail Customer or Customer means a customer located in Massachusetts that purchases electricity for its own consumption and not for resale in whole or in part.

Securitization means the use of rate reduction bonds to refinance debt and equity associated with Transition Costs pursuant to M.G.L. c. 164.

Service Territory means the service territory actually served by the Distribution Company on July 1, 1997 and following to the extent possible municipal boundaries.

Standard Offer Generation Service means the service provided by the Distribution Company until March 1, 2005, in accordance with 220 CMR 11.04(9)(b) and the provisions set forth in the Distribution Company's Standard Offer Generation Service tariff on file with the Department.

Transition Charge means the charge that provides the mechanism for recovery of Transition Costs.

Transition Costs means that portion of the costs identified in accordance with 220 CMR 11.03(2)(d) and (e) that remains after accounting for maximum possible mitigation, subject to determination by the Department.

Transmission Company means a company engaging in the transmission of electricity or owning, operating, or controlling Transmission Facilities.

Transmission Facility means plant or equipment used to provide Transmission Service.

Transmission Service means the delivery of electricity over lines that operate at a voltage level typically equal to or greater than 69,000 volts from generating facilities across interconnected high voltage lines to where it enters a distribution system.

Unbundled Rates means rates that separately identify:

(a) charges for Generation, Transmission and Distribution Services, as appropriate;

(b) charges for Energy Efficiency and Renewable Resources;

(c) the Transition Charge, as appropriate; and

(d) any other charges.

Unit Contract shall be as defined in the Restated NEPOOL Agreement, or the successor agreement(s).

220 CMR 11.02

Amended by Mass Register Issue 1274, eff. 11/21/2014.