RETAIL ELECTRIC AND GAS FRANCHISE RENEWAL NEGOTIATIONS
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ERG was retained to provide consulting
assistance to the Town of Erie, Colorado and its legal counsel concerning negotiation of a new twenty
year term electric and gas retail franchise agreement with Xcel Energy and a new twenty year
term retail electric franchise agreement with United Power Corporation. In this regard, members of the
Firm analyzed the existing franchise agreements, provided comments and suggested language changes, and
developed newly proposed franchise provisions. Negotiations with both Xcel Energy and United Power are presently ongoing.
Members of the Firm performed an analysis of the
potential impacts upon Toledo ratepayers of the proposed merger of the Toledo Edison Company (“TECO”) and Cleveland Electric
Illuminating Company creating Centerior Energy. An independent econometric projection of Centerior’s future rates and comparison
to projected TECO stand-alone rates was developed in support of establishing the City’s position with respect to the pending
merger. In addition, a preliminary analysis of merger related transfers of TECO transmission assets along with associated transmission
control issues and potential supply impacts upon City electric consumers was performed. Confidential briefings of City management
were accomplished relative to the results of the analyses.
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