PUC Staff: Minimum Stay On Default Service For Data Centers Not Needed; Data Centers Should Be Moved Off Default Service ASAP

Staff of the PUC of Ohio "agrees" that a minimum stay for a data center customer taking a data-center-specific default service (SSO) for electricity is not necessary

Furthermore, PUCO Staff said, "To the contrary, Rate DC [data center tariff] customers should procure generation from a CRES [retail supplier as expeditiously as possible to avoid staying on the SSO any longer than necessary."

Staff's position was included in reply comments concerning Duke Energy Ohio's proposed data center tariff

Duke’s proposed data center tariff would require that data centers shall arrange for electric generation service through a competitive retail electric service (CRES) provider. However, for "new" data center customers, Duke would also arrange for a separate default SSO for new data center load where needed (such as due to the default of the customer's CRES provider), with Duke proposing that new data center load would be ineligible for the regular Duke SSO.

As previously reported, PUCO Staff has recommended that Duke's prohibition on new data centers taking the regular SSO should also apply to existing data center load as well

Duke did not include specifics concerning the separate data center SSO in its original data center tariff application

In the application, Duke did indicate that a "minimum stay" would apply to a data center taking the specific data center SSO, but Duke did not provide details on such minimum stay

A de facto minimum stay for data center SSO was approved by PUCO with regards to AEP Ohio's separate data center SSO. In contrast, a pending settlement concerning data center SSO at AES Ohio would not include a minimum stay, with any administrative costs, from any necessary data-center-specific SSO procurement, assigned to data center customers regardless of shopping status

With regards to the design of any data center SSO, Staff would support at Duke the design included in a pending settlement for AES Ohio's market rate offer, in which a specific data center SSO would be created; specifically, a separate hourly priced service in which wholesale suppliers bid to serve the data center load at an adder, similar to large C&I hourly service at most Pennsylvania utilities (see full details here)

Addressing another previously reported objection raised by retail suppliers, Staff agrees that there is no need for Duke to serve as a curtailment service provider for data center SSO customers. Duke had proposed serving as CSP for data center SSO customers

Case 26-755-EL-ATA; 26-0755-EL-ATA

PUC Staff: Minimum Stay On Default Service For Data Centers Not Needed; Data Centers Should Be Moved Off Default Service ASAP

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