Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Energy Aggregation topic
No spam. Unsubscribe anytime.
Program advisers recommend pausing energy procurement after DAISY cost spike; residents can opt back to last‑resort service
Summary
Ocean State Community Electricity and Good Energy told the council a new grid ancillary charge (DAISY) is driving unexpected costs, prompting a recommendation to delay contract extensions; program reps said residents may opt back to standard last‑resort service without penalty and that rate notices will be posted at least 30 days before changes.
Representatives of the Ocean State Community Electricity buying group and Good Energy briefed the council on recent market changes tied to a new grid ancillary component—referred to in the presentation as "DAISY." The consultants said DAISY costs were significantly above initial grid estimates in recent winter months, which has driven higher supplier costs.
Stefano Loretto, who runs procurement for Good Energy, cited a recent example: a DAISY cost estimate that would have equated to roughly $2.40 per megawatt‑hour versus observed values that exceeded $44/MWh in January and February in one dataset. Because of that discrepancy, the advisers said they had recommended postponing any contract extension beyond the current agreement to avoid locking in rates before the market settled.
Program staff said North Kingstown’s aggregation contract runs through January 2028 and that they will reassess procurement strategy next spring after additional auction data and the last‑resort adjustment factor are reflected in Rhode Island Energy rates. They also said residents who joined the program may opt back to the utility’s last‑resort service without penalty; the program expects to notify customers at least 30 days before price changes and to post pricing on the program website.
