Ohio approves FirstEnergy power auction results

Oct 24 (Reuters) - Ohio utility regulators approved the results of Ohio power company FirstEnergy Corp's seventh wholesale electric auction that will ultimately determine its retail generation service rates through May 2016.

In a release, the Public Utilities Commission of Ohio (PUCO) said four competitive suppliers submitted winning bids during an auction held on October 22 for the one-year product to provide electricity to FirstEnergy customers.

That auction resulted in an average clearing price of $50.91 per megawatt hour for the delivery period June 1, 2014 through May 31, 2015.

The release did not say if the auction results would likely increase or decrease power costs for customers. Officials at the PUCO were not immediately available for comment.

The PUCO said it will keep the names of the winning bidders confidential for 21 days.

For the two-year product, regulators said four competitive suppliers submitted winning bids resulting in an average clearing price of $59.99 per MWh for the delivery period June 1, 2014 through May 31, 2016.

These results will be blended with previous auctions, and three upcoming auctions to establish retail generation rates from June 1, 2014 through May 31, 2016, the regulator said.

The PUCO noted power customers do not buy the power acquired in this auction. They can instead buy power from an alternate supplier or join a local government aggregation group.

CRA (Charles River Associates) International managed the auction. Boston Pacific Inc, a consultant retained by the PUCO, monitored the auction process.