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ESCO Seeks Declaratory Ruling Recognizing Smart Product Benefits Or Issue Limited Waiver To Sell And Deliver The SMT Product To Current And Prospective Customers
In its petition NOCO Electric LLC, NOCO Natural Gas LLC states that “the Commission should recognize the numerous customer and energy benefits provided by NOCO’s SMT Product and issue a declaratory ruling recognizing NOCO’s SMT Product as a permissible ERVAS under the Second Reset Order, or, in the alternative, provide NOCO a limited waiver to sell and deliver the SMT Product to current and prospective customers.”
Excerpts from NOCO Petition:
“II. Introduction
On December 12, 2019, the Commission issued the Second Reset Order, which purports to limit the types of products ESCOs may sell to “mass market customers.”10 According to the Second Reset Order, ESCOs may only provide customers with the following: (1) guaranteed savings products, (2) fixed products that are capped at a certain price, or (3) products that provide added value to customers.11 For purposes of determining qualifying products under the Second Reset Order, the Commission stated that “’value-added” means “something more than the standard; something that exceeds the expectations associated with provision of what is otherwise an 8 Second Reset Order at 52-53. 9 16 NYCRR § 8.2 (c). 10 Second Reset Order at 2. 11 Id. at 39, 65, and 75-76. undifferentiated commodity.’”12 In particular, products that “further the State’s energy policy goals and provide meaningful value to the customer” are explicitly recognized in the Second Reset Order as ERVAS.13 Although the Commission noted that it would need to further consider “whether and how ESCOs could and would be willing to provide those services and whether the tethering of those services with energy supply by ESCOs would create benefits,” 14 NOCO’s petition and supporting documentation demonstrate that its SMT product can reduce customer consumption around 20-33%, which would provide meaningful benefits to not only customers, but also New York’s energy grid. Accordingly, NOCO seeks a declaratory ruling from the Commission recognizing that the SMT Product is an CC product.”
“IV. The Smart Monitoring Product
The SMT Product is a fully integrated smart monitoring system designed to optimize heating and cooling in residential and commercial buildings by pairing customers’ thermostats with a dedicated energy dashboard, both inside the home or business and remotely, to provide realtime feedback on customer consumption, performance, comparison with neighboring properties, and potential carbon savings. Indeed, the SMT Product integrates advanced HVAC controls with a user-friendly dashboard, enabling automatic adjustments to reduce energy waste while maintaining comfort. The system provides real-time data insights, allowing property owners and tenants to monitor and control energy usage effectively. In addition, the SMT Product dashboard communicates consistent recommendations to the consumer on how to reduce energy and potential measures for increasing efficiency such as upgrading HVAC equipment or replacing filters within the home. Finally, the dashboard connects the consumer with information on potential incentive programs that may be available through NYSERDA or other third parties. An example of this highly informative consumer dashboard is attached for reference.”
“V. The SMT Product Should Be Recognized As A Compliant ERVAS Because It Provides Numerous Benefits For Customers And The Energy Grid”
“VI. NOCO Should Be Permitted To Provide A Bundled SMT Product Because The Product Is Directly Tied To Customer’s Energy”
Petition for Declaratory Ruling (05/30/2025)
(In the Matter of Eligibility Criteria for Energy Service Companies.)
