Commission will audit utilities’ process to calculate interconnection costs

Citing concerns from small electricity generators, the Public Utilities Commission agreed Wednesday to proceed with an audit of the methods used to calculate how much it costs for those power supplies to connect to the grid.

The audit will focus on Maine’s two major electrical utilities, Central Maine Power and Versant Power, and how each calculates the indirect costs for interconnection for small electricity generators, such as households with rooftop solar panels.

Commissioner Carrie Gilbert said interconnecting generators have raised concerns with the commission recently about how the utilities’ calculate those costs.

“Given the lack of clarity on the cost allocation methodologies,” Gilbert said, the situation warrants further review of the “reasonableness” of the assessed costs. 

“We welcome this review and believe it will provide a valuable opportunity for stakeholders to examine this process,” a spokesperson for CMP said in a statement. “CMP has previously submitted its cost methodology through regulatory proceedings and responded to public questions on the issue, and we look forward to participating in this additional review.”

Marissa McKay, spokesperson for Versant Power, said the utility is reviewing the audit notice. 

“We welcome conversation about safely interconnecting small generators to the grid and ensuring costs of interconnection are fairly allocated,” McKay said. 

Commission staff have already selected QSI Consulting Holdings Inc., to conduct the audit, which will be reported to the three-member board for review.