BEFORE THE VERMONT PUBLIC SERVICE BOARD IMPLEMENTATION OF THE FEDERAL ENERGY POLICY ACT OF 2005 DOCKET NO. COMMENTS OF HUNT TECHNOLOGIES, INC. REGARDING NEXT STEPS FOR A PROCESS TO CONSIDER SMART METERING AND TIME-BASED RATES AND NOW COMES Scott H. DeBroff, Esquire of LeBoeuf, Lamb, Greene & MacRae LLP, on behalf of his client, Hunt Technologies, Inc. ("Hunt") and avers the following: 1. Hunt Technologies delivers industry-leading advanced metering infrastructure (AMI) solutions to the electric, water and natural gas utilities markets. With world headquarters in Pequot Lakes, Minnesota, Hunt develops and supports hardware and software for more than 480 customers worldwide. 2. Hunt has been involved in smart metering issues in more than ten (10) states and has a significant interest in the outcome of this proceeding. 3. The Federal Energy Policy Act of 2005 requires each state public utility commission to consider and make a determination regarding four "standards," unless the state already has a comparable standard in effect, or the state commission has already conducted a proceeding considering implementation of a comparable standard, or the state legislature has already voted on the implementation of a comparable standard. 4. Of particular importance to Hunt is the fourth standard, which says that each electric utility shall offer each of its customer classes, and provide individual customers upon customer request, a time-based rate schedule under which the rate charged by the electric utility varies during different time periods and reflects the variance, if any, in the utility's costs of generating and purchasing electricity at the wholesale level. The time-based rate schedule shall enable the electric consumer to manage energy use and cost through advanced metering and communications technology. Each electric utility shall provide each customer requesting a timebased rate with a time-based meter capable of enabling the utility and customer to offer and receive such rate, respectively. 5. The Board asked parties to file comments on whether the Board should adopt each of the standards, or whether the Board should conduct a process (or processes) to consider them. The Board received seven comments. 6. On January 20, 2006, the Board held a workshop to discuss, among other items, the four standards included in EPAct. After the workshop, the Board issued a memorandum requesting agenda items and possible speakers for a future workshop that would explore technological and other issues related to the Board's consideration of the smart metering and time-based rates standard. The Board received six comments in response to this memorandum. 7. On February 21, 2006, the Board issued a memorandum setting forth the next steps in its process for considering the smart metering and time-based rate standard. 8. On February 24, 2006, comments were filed on a draft agenda for the March 15, 2006 workshop on smart metering and time-based rate issues. 2 9. On March 10, 2006, the Board received filings by the electric distribution utilities with summary information on current and pending time-based rates, current and planned use of smart metering technologies, and recent or planned utility-specific analyses regarding smart metering and/or time-based rates. 10. On March 15, 2006, the Board hosted a workshop on smart metering and time-based rate issues, of which Hunt attended and participated. 11. Near the end of that workshop, parties briefly discussed what the next steps should be in the Board's consideration of the Federal Energy Policy Act of 2005's proposed "standard" regarding smart metering and time-based rates. The possible next steps that were mentioned included another workshop, a pilot program, and the separation of the smart metering and rate design components. 12. However, there was insufficient time to conclude this discussion. Therefore, the Board agreed to provide the parties with an opportunity to file written comments on what the next steps should be. Accordingly, any party wishing to file such written comments should do so on or before April 14, 2006. These are Hunt's comments. 13. Based on the well done presentations at the first workshop on March 15th, and considering the lack of time to really undergo any significant discussions, Hunt believes that the Board should, as a next step, consider hosting another workshop. This time, the Board should schedule an entire day to conduct such and put out a request to parties to suggest what kinds of speakers and discussion topics around smart metering and demand response should be offered. There were some discussions and one presentation that touched on the "technology" piece, and we would support a more involved discussion of the changes and benefits of technology that 3 exist today. In addition, we felt that the interactive discussion periods were a great opportunity for parties who had not had the opportunity to make a presentation, to be able to weigh in on the speakers and the topics discussed. Hunt would also recommend a continuation of that practice. 14. In terms of steps beyond another workshop, Hunt has started to participate in other state "EPACT" processes, and each state, while different, attempts to combine the basic requirements as set forth in the PURPA requirements from 1978. There is a hearing process that has certain notice requirements, and that process allows for all interested parties to be able to speak to the issues of concern and then allows for the Commission to run the process and make determinations regarding smart metering based on the input from the parties to the hearing. Hunt believes that many of the questions posed to the utilities in the early stages of this process before the Board were good jumping off points for the kind of information that would be relevant in a hearing process. Hunt also believes that the hearing process would allow other interested parties to have an opportunity to present their information into the forum, ultimately providing the Board with a well-rounded picture of the smart metering issues, fully preparing it to make a ruling on the subject. 15. Finally, following a hearing process, Hunt also believes that parties should be entitled to follow up by filing Comments and/or Reply Comments regarding the positions taken in the hearings. The end of the process would be a Board decision on what rules and guidelines it wishes to implement in the State of Vermont. 16. There are, of course, many versions of a "process" that will surely be suggested. Hunt looks forward to working with the Board, the utilities, and the other parties to this proceeding, in 4 finding a process that works for everyone, allowing all of the relevant information regarding smart metering and time-based rate options to be presented. 17. Attorney DeBroff will represent Hunt in this case, and on the basis of this notice, we request that copies of each document hereafter issued by this Board in the above-captioned matter be directed to the Harrisburg, Pennsylvania office of LeBoeuf, Lamb, Greene & MacRae LLP at the address listed below. Respectfully submitted, Dated: April 14, 2006 By: _______________________________ Scott H. DeBroff, Esquire LeBoeuf, Lamb, Greene & MacRae, L.L.P. 200 North Third Street, Suite 300 P.O. Box 12105 Harrisburg, PA 17108-2105 Tel: (717) 232-6453 Fax: (717) 232-8720 eMail: sdebroff@llgm.com Counsel for Hunt Technologies, Inc. 5 BEFORE THE VERMONT PUBLIC SERVICE BOARD IMPLEMENTATION OF THE FEDERAL ENERGY POLICY ACT OF 2005 DOCKET NO. _____________________________________ CERTIFICATE OF SERVICE _____________________________________ I certify that I have by mail, and a courtesy copy by electronic mail to the parties to which an electronic mail address has been provided the appropriate Service List, this day served a true copy of the original attached "COMMENTS OF HUNT TECHNOLOGIES, INC." on all parties of record in this proceeding or their attorneys of record. Respectfully submitted, Dated: April 14, 2006 By: _______________________________ Scott H. DeBroff, Esquire LeBoeuf, Lamb, Greene & MacRae, L.L.P. 200 North Third Street, Suite 300 P.O. Box 12105 Harrisburg, PA 17108-2105 Tel: (717) 232-6453 Fax: (717) 232-8720 eMail: sdebroff@llgm.com Counsel for Hunt Technologies, Inc. 6 SERVICE LIST E-Mail Service List for Smart Metering and Time-Based Rates Materials Abendroth, Harry Vermont Electric Cooperative habendroth@vermontelectric.coop Adler, Aaron Department of Public Service aaron.adler@state.vt.us Allard, Todd Vermont Marble Todd.Allard@omya.com Allen, Riley Department of Public Service riley.allen@state.vt.us Becker, John Department of Public Service john.becker@state.vt.us Bentley, Bruce Central Vermont Public Service Corp. bbentley@cvps.com Bishop, Ann Public Service Board abishop@psb.state.vt.us Brown, Jim Green Mountain Power brown@gmpvt.com Brown, Vickie Vermont Electric Cooperative vbrown@ppeclaw.com Burke, John Public Service Board jburke@psb.state.vt.us Burns, Chris Burlington Electric Department cburns@burlingtonelectric.com Coen, David Public Service Board dcoen@psb.state.vt.us DeBroff, Scott LeBoeuf, Lamb, Greene, MacRae sdebroff@llgm.com Emerson, Eli 14 Munis eemerson@ppeclaw.com Enterline, Shawn Burlington Electric Department senterline@burlingtonelectric.com Gidney, Ennis Public Service Board egidney@psb.state.vt.us Janson, Kurt Public Service Board kjanson@psb.state.vt.us Levine, Sandra Conservation Law Foundation slevine@clf.org Lyle, Tom Public Service Board tlyle@psb.state.vt.us Perry, Kevin Vermont Electric Cooperative kperry@vermontelectric.coop Plett, Fred Tantalus Systems Corporation fplett@tantalus.com Powell, Bill Washington Electric Cooperative billp@washingtonelectric.coop Pratt, Randy Public Service Board rpratt@psb.state.vt.us Richards, Patty Burlington Electric Dept. prichards@burlingtonelectric.com Silver, Morris Central Vermont Public Service Corp. mlsilver@sover.net Underhill, Chuck Vermont Public Power Supply Authority cunderhill@vppsa.com Volz, Jim Public Service Board jvolz@psb.state.vt.us Welch, Carole Department of Public Service carole.welch@state.vt.us [Abishop N:\WIP\Abishop\EPAct 2005\EMail Service List for Smart Metering and TimeBased Rates Materials.wpd March 14, 2006] 7