ALJ/JSW/tcg DRAFT CA-7

12/21/00

Decision DRAFT DECISION OF ALJ WONG (Mailed 11/21/2000)

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

Order Instituting Rulemaking on the Commission's Proposed Policies Governing Restructuring California's Electric Services Industry and Reforming Regulation.	Rulemaking 94-04-031 (Filed April 20, 1994)
Order Instituting Investigation on the Commission's Proposed Policies Governing Restructuring California's Electric Services Industry and Reforming Regulation.	Investigation 94-04-032 (Filed April 20, 1994)

OPINION REGARDING THE PETITION FOR MODIFICATION
OF D.98-12-080 FILED BY ABB POWER T&D COMPANY INC.

1. Summary

This decision addresses the petition for modification of Decision (D.) 98-12-080 that was filed by ABB Power T&D Company Inc. (ABB). In D.98-12-080, the Commission adopted permanent meter product standards and ordered that all direct access meters meet these standards by April 16, 1999. Among the adopted standards was American National Standards Institute (ANSI) C12.18, which applies if an ANSI Type 2 optical port is used. The C12.18 standard also contains a communications protocol specification. ABB had previously requested, and was granted, two extensions to comply with the communications protocol portion of C12.18.

Today's decision grants ABB's request for an extension of time so that meter manufacturers can comply with the communications protocol contained in C12.18. All direct access meters offered for use in California after 30 days from today's date shall comply with all of the permanent meter product standards that were adopted in D.98-12-080, including the communications protocol specification in C12.18.

We also grant ABB's request to modify Ordering Paragraph 2.b. of D.98-12-080. Instead of requiring the retirement from service no later than June 30, 2002 of all direct access meters which meet only the interim meter standards, the modification that we adopt provides that only those direct access meters that comply with the permanent meter product standards, with the exception of the communications protocol portion of C12.18, may remain in service beyond June 30, 2002. All other non-conforming direct access meters shall be retired from service no later than that date. This modification has the effect of "grandfathering" all existing direct access meters that meet all of the permanent meter product standards except for the communications protocol specification contained in C12.18.

2. Background

In D.98-12-080, the Commission adopted permanent metering standards for electric meters used in direct access. Among the adopted metering standards was the requirement that if a direct access meter uses a Type 2 optical port, then the port would have to meet the ANSI C12.18 specifications for a Type 2 optical port. D.98-12-080 also required that all direct access meters which meet only the interim meter standards adopted in D.97-12-048 must be retired from service no later than June 30, 2002.

Ordering Paragraph 2 of D.98-12-080 mandated that all direct access meter products meet all of the permanent meter product standards by April 16, 1999. ABB requested two extensions of this deadline in letters to the Commission's Executive Director dated August 30, 1999 and May 11, 2000. Pursuant to Rule 48(b) of the Commission's Rules of Practice and Procedure, the Executive Director authorized the first extension on September 3, 1999, and an additional extension on May 22, 2000. The second extension granted ABB's request that meter service providers (MSPs) be given an extension to comply with Ordering Paragraph 2.a. of D.98-12-080 until 30 days after the Commission adopts a decision addressing ABB's petition for modification, unless the decision provides otherwise.

On October 29, 1999, ABB filed its petition for modification of D.98-12-080. No one filed any response to ABB's petition.

The draft decision of the Administrative Law Judge (ALJ) in this matter was mailed to the parties in accordance with Public Utilities Code Section 311(g)(1) and Rule 77.7. Comments were filed on _________________, and reply comments were filed on __________________.

3. ABB's Status as a Party

ABB notes in its petition that ABB has not officially appeared in this proceeding, and that it was not reflected on the existing service list at the time its petition was filed. ABB states that it participated extensively in the Permanent Standards Working Group (PSWG) which issued the PSWG Workshop Report, and which formed the basis for the permanent meter product standards that were adopted in D.98-12-080.¹ An ABB employee also chaired the Validating, Editing, and Estimating Subcommittee of the PSWG. ABB also points out that it manufactures electric meters and that D.98-12-080 impacts its ability to compete in the direct access market in California.

ABB is not a party to the proceeding. However, Rule 47(e) provides:

"If the petitioner is not a party to the proceeding in which the decision proposed to be modified was issued, the petition must state specifically how the petitioner is affected by the decision and why the petitioner did not participate in the proceeding earlier. A separate petition to intervene ... is not required. The petitioner will become a party to the proceeding for the purpose of resolving the petition."

The Commission noted in D.98-12-080 that ABB had participated in the development of the Workshop Report.² In addition, ABB's petition states that it is a manufacturer of electric meters, that D.98-12-080 affects its ability to offer such meters, and that it participated in the PSWG. We will therefore allow ABB to become a party to this proceeding, so that we can address its petition for modification.

4. Position of ABB

ABB's petition requests that the Commission modify D.98-12-080 in two places, and that the Commission clarify the decision.

ABB's first request is that the Commission modify D.98-12-080 so that meter manufacturers have sufficient time to develop meter products that are compliant with the complete C12.18 standard. ABB requests that all manufacturers of direct access meters be given until December 31, 2000 to comply with the C.12.18 communications protocol.³ Specifically, ABB requests that Ordering Paragraph 2 and 2.a. be modified to the following:

"2. Except as provided for below, effective 120 days from today, all direct access meter products shall meet the requirements set forth in Attachment A in accordance with the timetable set out at page 1 of Appendix A of the Workshop Report, with the exception that the communications protocol portion of ANSI C12.18 shall not apply until December 31, 2000.

a. MSPs may continue to offer for the next 120 days, direct access meters which meet at least one of the four meter criteria that are set forth in Decision (D.) 97-12-048 at pages 14 and 15. After 120 days from today, all meter products used in direct access shall meet the permanent meter product standards that are summarized in Attachment A of this decision, with the exception that the communications protocol portion of ANSI C12.18 shall not apply until December 31, 2000."

ABB contends that "most meter equipment manufacturers, including ABB, have not yet developed meters fully compliant with the communications protocol portion of ANSI C12.18." Except for the communications protocol portion of C12.18, ABB contends that all of its meter products satisfy all of the permanent metering standards set forth in D.98-12-080. Because of this, ABB states that it has not self-certified, on the Energy Division's web page listing of "Certified Meter Products," that its meters fully comply with all of the permanent meter standards adopted in D.98-12-080.⁴

ABB's second request is to eliminate the requirement in Ordering Paragraph 2.b of D.98-12-080 which provides that:

"Direct access meters which only meet the interim standards adopted in D.97-12-048, shall be retired from service no later than June 30, 2002."

ABB requests that Ordering Paragraph 2.b. of D.98-12-080 be modified and replaced with the following provision:

"Direct access meters which do not comply with the permanent meter product standards, with the exception of the communications protocol portion of ANSI C12.18, shall be retired from service no later than June 30, 2002."

ABB contends that if Ordering Paragraph 2.b. is not changed, that customers who use direct access meters that do not meet the communications protocol portion of C12.18 would have to retire those meters no later than June 30, 2002. ABB asserts that such a requirement would impose a significant cost on end users, and that this requirement would result in a significant barrier to the installation of direct access meters which meet all of the permanent requirements except for the communications protocol. ABB argues that this would adversely impact consumers because they would have significantly fewer choices from which to purchase direct access meters.

ABB also contends that the communications protocol portion of C12.18 will not be of benefit to consumers because no data table standard, such as ANSI C12.19, has been adopted by the Commission. In the absence of such a data table standard, the Commission's goal of fostering the interoperability of various meters will not be achieved. ⁵

The petition for modification also requests that the Commission clarify the applicability of the communications protocol portion of C12.18. ABB states that there appears to be a difference of opinion within the direct access market as to whether the communications protocol portion of the C12.18 standard applies. ABB believes the Commission intended to include the communications protocol portion of the C12.18 standard as part of the permanent meter standard.

ABB contends that other manufacturers may believe that the communications protocol portion of C12.18 is not required by D.98-12-065. As a result, ABB asserts that some of the meters that are now listed on the Energy Division's web page listing of Certified Meter Products as providing meters that fully comply with the Commission's permanent meter standards, may not comply because of differing opinions about the applicability of the communications protocol portion of C12.18. ABB asserts that this "uncertainty has tilted the playing field in favor of those manufacturers which contend that compliance with the communications protocol portion of ANSI C12.18 is not required" by D.98-12-065. According to ABB, clarification of this issue will eliminate these competitive inequities.

5. Discussion

In deciding whether we should grant ABB's request, we need to address whether such a request would unfairly benefit ABB. ABB states that all of its electric meters meet all of the permanent meter standards except for the communications protocol. ABB's petition infers that other meter manufacturers may also be out of compliance with the communications protocol portion of C12.18.

Parties to this proceeding were provided the opportunity to file a response to ABB's petition. Although ABB's request for relief would undoubtedly benefit ABB, no other parties have objected. It also appears that the granting of ABB's second request to grandfather those meters which meet all of the permanent meter standards, except for the communications protocol portion of C12.18, will also benefit other meter manufacturers with meters similar to ABB. Thus, ABB's request will not disadvantage other meter manufacturers.

We turn next to ABB's request that the Commission extend the deadline to comply with the communications protocol portion of the C12.18 standard until December 31, 2000. In the Executive Director's second letter approving ABB's request for an extension, MSPs were given an extension to comply with the permanent meter standards until 30 days after the Commission adopts a decision addressing ABB's petition that is the subject of this decision.

ABB's petition points out that extending the deadline to comply with the communications protocol portion of C12.18 will not harm direct access customers because the interoperability of the meter will not be enhanced unless the data table format standard in C12.19 is adopted. Although the C12.19 data table standard was rejected in D.98-12-080, comments to the Workshop Report noted that the data communication standards in the C12.18 standard would promote interoperability. (D.98-12-080, p. 49.) We will grant ABB's request to extend the time to comply with the communications protocol of the C12.18 standard. Since the letter extension of May 22, 2000 granted ABB's request for MSPs to comply with Ordering Paragraph 2.a. of D.98-12-080, all MSPs and meter manufacturers who provide direct access meter products for use in California shall have until 30 days from today's date to comply with Ordering Paragraph 2 and 2.a. of D.98-12-080, i.e., all meter products offered for direct access after 30 days from today shall meet the permanent meter product standards summarized in Attachment A of D.98-12-080.

We find no need to modify the text of Ordering Paragraph 2 or 2.a. of D.98-12-080 as ABB has suggested. Two prior extensions were previously granted in letters from the Executive Director pursuant to Rule 48(b). Instead of modifying D.98-12-080 to confirm the May 22, 2000 letter extension, this decision shall serve as the vehicle to apprise all interested parties that, except as discussed below regarding the grandfathering of existing direct access meters, all direct access meters must meet all of the permanent meter product standards summarized in Attachment A of D.98-12-080 no later than 30 days from today's date.

ABB's second request concerns Ordering Paragraph 2.b. of D.98-12-080. As presently worded, that Ordering Paragraph would require the retirement by June 30, 2002 of all direct access meters that only meet the interim meter standards adopted in D.97-12-048. ABB's proposed modification would require that all direct access meters that do not comply with the permanent meter product standards, except for the communications protocol portion of C12.18, be retired on or before June 30, 2002. ABB's request would allow, or grandfather in, those direct access meters that meet all of the permanent meter product standards adopted in D.98-12-080, except for the communications protocol portion of C12.18, to remain in operation beyond June 30, 2002.

As noted earlier, the granting of the second request will benefit ABB, whose meters, according to ABB's petition, meet all of the permanent standards except for the communications protocol portion of C12.18. Other meters manufactured by others are likely to benefit as well if ABB's request is granted. As ABB notes in its petition at pages 6 and 7, other manufacturers listed on the Energy Division's website as "providing meters that fully comply with the Commission's permanent standards," are not in compliance with the communications protocol portion of C12.18 because of a belief by certain manufacturers that "compliance with the communications protocol portion of ANSI C12.18 is not required by the Permanent Standards Decision."

ABB notes that the communications protocol portion of C12.18 "adds nothing" to the interoperability of a direct access meter "in the absence of a data table standard such as ANSI C12.19." (ABB Petition, p. 8.) We agree with ABB that nothing would be gained from requiring the retirement of all direct access meters that currently meet all of the permanent meter product standards except for the communications protocol. The additional cost to end use customers, who would have to purchase new direct access meters that comply with all of the permanent meter standards, is not justified in light of the lack of benefits that a meter with the C12.18 communications protocol brings. Therefore, we will adopt ABB's recommendation to modify Ordering Paragraph 2.b. of D.98-12-080, with some changes. Ordering Paragraph 2.b. of D.98-12-080 shall be modified to provide as follows:

"b. Existing direct access meters which comply with all of the permanent meter product standards set forth in Attachment A of this decision, with the exception of the communications protocol portion of ANSI C12.18, may remain in service beyond June 30, 2002. All other non-conforming direct access meters shall be retired from service no later than June 30, 2002."

ABB also requests that the Commission clarify the applicability of the communications protocol portion of C12.18. We confirm that the communications protocol portion of the ANSI C12.18 standard was intended to be part of the permanent meter product standards adopted in D.98-12-080. That is, if a meter has a Type 2 optical port, then all of the specifications in C12.18, including the communications protocol specification, must be met.

We note that all meter manufacturers have had adequate time to conform their meters with the communications protocol of C12.18, and we expect meter manufacturers and MSPs to comply with D.98-12-080, as modified by this decision. D.98-12-080 was issued in December 1998, and meter manufacturers and MSPs were given until April 16, 1999 to comply. Additional time to comply was given when ABB's two requests for extensions were granted. Thus, we expect all direct access meters with a Type 2 optical port offered for use in California after 30 days from today's date to conform to all of the permanent meter product standards adopted in D.98-12-040, including the communications protocol specification set forth in C12.18.

Findings of Fact

1. In D.98-12-080, the Commission adopted permanent metering standards for electric meters used in direct access.

2. The ANSI C12.18 standard was adopted in D.98-12-080, and applies if a ANSI Type 2 optical port is used.

3. D.98-12-080 required that all direct access meters, which meet only the interim meter standards, be retired from service no later than June 30, 2002.

4. Ordering Paragraph 2 of D.98-12-080 mandated that all direct access meter products meet all of the adopted permanent meter product standards by April 16, 1999.

5. ABB had requested, and was granted, two extensions of time in which to comply with the permanent meter product standards.

6. The second extension granted MSPs an extension to comply with Ordering Paragraph 2.a. of D.98-12-080 until 30 days after the Commission adopts a decision addressing ABB's petition for modification, unless the decision provides otherwise.

7. ABB filed its petition for modification of D.98-12-080 on October 29, 1999.

8. No one filed any response to ABB's petition to modify.

9. Rule 47(e) provides that if the person filing a petition for modification is not a party to the proceeding, the petitioner will become a party to the proceeding if the petition states how the petitioner is affected by the decision and why the petitioner did not participate in the proceeding earlier.

10. The C12.18 standard includes a communications protocol portion.

11. ABB's petition infers that other meter manufacturers may lack compliance with the communications protocol portion of C12.18.

12. ABB's request to grandfather certain meters will also benefit other meter manufacturers whose meters meet all of the permanent meter standards except for the communications protocol portion of C12.18.

13. Since two prior extensions were previously granted in letters from the Executive Director, there is no need to modify D.98-08-080 to confirm the extension granted in the May 22, 2000 letter.

14. ABB's second request would require that all direct access meters that do not comply with the permanent meter product standards, except for the communications protocol portion of C12.18, be retired on or before June 30, 2002.

15. The effect of ABB's second request is to allow, or grandfather in, those direct access meters which meet all of the permanent meter product standards adopted in D.98-12-080, except for the communications protocol portion of C12.18, to remain in operation beyond June 30, 2002.

16. Nothing would be gained from requiring the retirement of all direct access meters that currently meet all of the permanent meter product standards except for the communications protocol contained in C12.18.

17. The communications protocol portion of the C12.18 standard was intended to be part of the permanent meter product standards adopted in D.98-12-080.

18. If a direct access meter has a Type 2 optical port, then all of the specifications in C12.18, including the communications protocol specification, must be met.

19. All meter manufacturers have had adequate time to conform their meters to the communications protocol portion of the C12.18 standard.

Conclusions of Law

1. Since ABB participated in the development of the Workshop Report, and because it stated how it would be affected, ABB should be allowed to become a party to this proceeding.

2. ABB's request to grandfather certain meters will not disadvantage other meter manufacturers.

3. ABB's request to extend the time to comply with the communications protocol portion of the C12.18 standard should be granted, and all MSPs and meter manufacturers who provide direct access meter products for use in California should have until 30 days from today's date to meet the permanent meter product standards in D.98-12-080.

4. Today's decision should serve as the vehicle to provide notice to all interested parties that all direct access meters must meet all of the permanent meter product standards in D.98-12-080 no later than 30 days from today's date, except for those meters which have been permitted to remain in service.

5. ABB's request to modify Ordering Paragraph 2.b. of D.98-12-080 should be granted with some changes to the language suggested by ABB.

O R D E R

1. ABB Power T&D Company Inc. (ABB) shall be made a party to this proceeding.

2. ABB's request to extend the time to comply with the communications protocol portion of the American National Standards Institute (ANSI) C12.18 standard, as adopted in Decision (D.) 98-12-080, is granted subject to the following:

(a) Except as provided for in Ordering Paragraph 3 of this decision, after 30 days from today's date, all direct access meter products offered for use in California shall meet all of the permanent meter product standards adopted in D.98-12-080.

(b) If an ANSI Type 2 optical port is used for the direct access meter, all of the specifications contained in the ANSI C12.18 standard, including the communications protocol specification, shall be complied with.

(c) Ordering Paragraphs 2 and 2.a. of D.98-12-080 do not require modification because two prior extensions were granted by the Executive Director, and this decision merely confirms the second extension.

3. ABB's request to modify Ordering Paragraph 2.b. of D.98-12-080 is granted. Ordering Paragraph 2.b. of D.98-12-080 shall be deleted and replaced with the following:

"b. Existing direct access meters which comply with all of the permanent meter product standards set forth in Attachment A of this decision, with the exception of the communications protocol portion of ANSI C12.18, may remain in service beyond June 30, 2002. All other non-conforming direct access meters shall be retired from service no later than June 30, 2002."

This order is effective today.

Dated , at San Francisco, California.