What is Standard Supply Service (SSS)?

As a foundational element of electricity procurement, Standard Supply Service (SSS) represents the default electricity supply provided by utilities or suppliers under regulated tariffs, unless any specialized green power contracts are in place. In essence, it's the baseline power service you receive if you haven't actively chosen a competitive supplier, signed a power purchase agreement (PPA), bought unbundled Renewable Energy Certificates (RECs), or enrolled in a voluntary green tariff. SSS is common in both regulated and deregulated markets, where it serves as the "provider of last resort" or universal service obligation, ensuring reliable electricity delivery to all customers.

Key characteristics of SSS include:

  • Regulated or Mandated Delivery: Costs are recovered through approved utility rates, government planning processes (e.g., Integrated Resource Plans or IRPs), or auctions. This often encompasses a mix of energy sources, including fossil fuels, nuclear, large hydro, and renewables mandated by policies such as Renewable Portfolio Standards (RPS) or Clean Energy Standards (CES).

  • Embedded Clean Energy Attributes: SSS automatically includes a pro-rata share of zero- or low-carbon generation that the utility is required to provide by law or regulation. For instance, utilities retire RECs for RPS compliance on behalf of SSS customers, meaning you implicitly "own" a portion of those renewable attributes without additional procurement.

  • No Opt-Out for Certain Elements: Components like non-bypassable charges (e.g., fees funding RPS RECs or nuclear subsidies) remain in effect even if you switch suppliers, ensuring those attributes are tied to your consumption.

SSS varies by region

In the U.S., examples include Georgia Power's default service (with regulated coal and hydro) or PG&E's standard supply (incorporating California's RPS and nuclear). In Canada, it's seen in Crown corporations like BC Hydro, which has a regulated hydro-heavy mix. Globally, analogs include EDF's nuclear-dominated tariffs in France and Statkraft's state-owned hydroelectric operations in Norway.

While SSS provides a reliable baseline, it's not a dedicated "green" product—its carbon intensity reflects the utility's overall portfolio, influenced by regulations rather than voluntary action. For precise tracking, utilities disclose SSS mixes through tools like Power Content Labels (in California) or annual reports, allowing customers to quantify their share of attributes, such as retired RECs.

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