GEN 00012
Question: Can you detail the math employed to transform PJM Settlement-level load to Retail-level load as used in the calculation of a supplier's AEC requirement? As I understand the matter, Retail-level load can be calculated as (PJM Settlement-level load) / (1- Deration Factor) / (1+ Distribution Loss Factor + Transmission Loss Factor). Can you confirm?
Answer: Duquesne calculates the retail load using the settlement load without a deration factor applied minus the line losses and UFE.
GEN 00026
Question: In the load data you provide, there is a "lost power" column. What lost power does that include? Transmission loss, etc?
Answer: Lost power is the difference between system load and what DLC billed to customers.
GEN 00029
Question: If Alternative Energy Portfolio Requirements change such that there are new Tiers or Classes of Alternative Energy Credits other than Solar, Tier 1 and Tier 2, will suppliers or Duquesne be responsible for those Alternative Energy Credits?
Answer: The Supplier is responsible for any changes or modifications to the AEPS requirements. This would include any new tiers or classes of credits. As noted in Appendix E of the SMA, “If Alternative Energy Portfolio Requirements change by law or any other reason, DS Supplier shall be responsible for providing the credits at its expense in order to comply with its obligations under Full Requirements Service."
GEN 00031
Question: Market Monitor, Given the record high ancillary clearing prices due to the various Winter Storms during the month of January, would Duquesne consider passing through market-based ancillary costs for Fixed-Price auction products as part of DSP-X proceedings. Could this consideration be also expressed for the Hourly Priced Large C&I product, where settled costs borne by suppliers for the month of January exceeded 50% of the March 2024 auction clearing price? Thank you.
Answer: The DSP-X Supplier Master Agreement, which governs the allocation of costs between utilities and suppliers for DSP-X, has already been approved by the Pennsylvania Public Utility Commission. The SMA will be the governing document for the upcoming March procurement, outlining how costs, including ancillary services, are handled. The approved SMA is available on the information site under the "Documents" section for your reference.
GEN 00032
Question: For counterparties that need to complete KYC on Duquesne, who should they contact and will the representative engage with bidders before they have been awarded at least one tranche of supply?
Answer: Only Registered Bidders - those that successfully completed the Part 1 and Part 2 Application process - are allowed to participate in the auction. No additional KYC or “Know Your Customer” compliance checks are required prior to the award of tranches in the auction.
RUL 00002
Question: Do tranches that are pulled from the auction and tranches that are shifted into other products have the same chance of being rolled back into a prior round product?
Answer: No, if a bidder reduced the total number of tranches it bid across all products, those “reduced” tranches are more likely to be used for rollbacks than tranches that were “switched” from one product to another. As much as possible, such “reduced” tranches are used first for rollbacks, and then “switched” tranches are used for rollbacks if necessary.
DAT 00010
Question: Are the PLC and NSPL in the dataroom scaled by daily zonal scaling factor. Do we need to apply PJM RPM daily zonal scaling factor to get the PJM daily PLC?
Answer: PJM does not scale the daily PLC and NSPL because Duquesne Light Company provides the amounts to PJM already scaled. PJM applies a 1.0 scaling factor.
DAT 00018
Question: Is there an intention to update the website with data that includes 6/1/23 before the auction?
Answer: Below is the total NSPL for POLR for each segment as of 6/1/2023.
CRE 00001
Question: Are there any credit-based tranche caps?
Answer: No.
PJM 00005
Question: On February 27, 2022, PJM announced BRA prices for the 2024/2025 Planning Year. Will the Capacity Proxy Price still be used by Duquesne for the 2024/2025 Delivery year?
Answer: No, that Capacity Proxy Price will not be used. BRA results announced by PJM on February 27, 2023, for the 2024/2025 PJM Planning Year are not preliminary results. The announcement of BRA prices means that the Company will not consider using a Capacity Proxy Price for any POLR auction products with exposure to the 2024/2025 PJM Planning Year.
SMA 00002
Question: Is the Price location Duquesne Residual Aggregate?
Answer: The Market Price Hub is the Duquesne Residual Zonal Aggregate. The P-node is specifically listed on the Attachment A.
SMA 00014
Question: Per SMA Exhibit JP-3, references REC obligations can be reduced if the utility transfers RECs to the DS supplier. Please confirm that for the current bid, no alternative energy credits have been purchased or will be purchased for the delivery periods in this procurement cycle.
Answer: There are no reductions to the Wholesale suppliers AEPS obligations for the delivery periods that are being procured at this auction. Duquesne Light will not be reducing the DS suppliers AEPS obligations for any delivery periods.
The information provided in the Frequently Asked Questions (“FAQs”) section of the Site has been prepared by Duquesne and its advisors for the purposes of facilitating the Default Service auction process. The information presented and distributed here is subject to update, modification and/or amendment. The information is current as of the posting date. The material presented and distributed here is for informational purposes only and is made available with the understanding that any individual accessing it will use it for the sole purpose of participating in the aforementioned Default Service auction process. The information is not intended to form any part of the basis of any investment decision, valuation, or any bid that may be submitted during the Default Service auction process. This information should not be relied upon, and each recipient should make its own independent assessment of the subject opportunity after making all investigations it deems necessary.