PUC Makes Management Recommendations to Pike County Light and Power and Leatherstocking Gas Company; Releases Focused Management and Operations Audit

February 12, 2018

HARRISBURG The Pennsylvania Public Utility Commission (PUC) has released a Focused Management and Operations Audit Report of Pike County Light and Power Company (PCLP) and Leatherstocking Gas Company.

At its Public Meeting on Feb. 8, the Commission voted 5-0 in favor of a motion by Vice Chairman Andrew G. Place, to make the Audit Report and the Implementation Plan public while also placing additional reporting requirements on the Companies. Focused Management and Operations Audits, performed by the PUC's Bureau of Audits, analyze and evaluate management performance in various functional areas.

The audit report makes 33 recommendations to the Companies for improvement.  The Companies indicated acceptance of all 33 recommendations in their implementation plan. Some of the more notable recommendations include:

Additionally, the Commission directs Pike to file a status report with the Bureaus of Technical Utility Services (TUS), Investigation and Enforcement (I&E), and Audits by July 1, 2018, and adds additional requested information to the existing implementation progress report, due by Feb. 1, 2019.  Each status report shall provide updated information regarding Pike's implementation of the accepted audit recommendations with a focus on the following:

The Commission further directs Pike to file a status report with the Commission's TUS Reliability and Emergency Preparedness Section, I&E, Audits, and the statutory advocates on April 1, 2018, regarding Pike's completed plan and cost-benefit analysis to support the decision-making process in determining staffing level resources.

Pike is also directed to hold a meeting, during the 4th quarter 2018, at their facilities with staff from TUS and Audits to review their completed plans, and Pike is directed to file a written monthly status report, to the Commission's Office of Competitive Market Oversight (OCMO), on their Electronic Data Interchange (EDI) capabilities and when they expect to have EDI fully available for electric generation suppliers.

The PUC Bureau of Audits staff plans to follow-up on implementation efforts related to the more significant recommendations during the next Management Efficiency Investigation, which should begin in mid-2020.

The Pennsylvania Public Utility Commission balances the needs of consumers and utilities; ensures safe and reliable utility service at reasonable rates; protects the public interest; educates consumers to make independent and informed utility choices; furthers economic development; and fosters new technologies and competitive markets in an environmentally sound manner.

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Nils Hagen-Frederiksen

Press Secretary



Pennsylvania Public Utility Commission
Press Office
P.O. Box 3265, Harrisburg, PA 17105-3265
(717) 787-5722 FAX (717) 787-4193