Update: FirstEnergy recently filed a third supplemental stipulation. After filing testimony opposing FirstEnergy’s ESP application (including the purchase power agreement (PPA)), Staff now supports FirstEnergy’s proposal. Ohio Partners for Affordable Energy and EnerNOC have joined the other signatory parties in an agreement to support the overall settlement of the case. If accepted, the proposal would authorize FirstEnergy to recover costs from customers under a PPA with its unregulated generation affiliate, FirstEnergy Solutions. FirstEnergy originally requested approval of a 15-year term PPA, but has agreed to an eight-year term. The stipulation provides FirstEnergy with a 10.38% return on equity, extends the term of FirstEnergy’s electric security plan to eight years, and addresses grid modernization, energy efficiency, and a plan to transition to decoupled rates. FirstEnergy forecasted a cost of the PPA of $414 million for the first three years with an overall projected benefit to customers of $561 million. OCC has estimated that the total package will cost consumers $3.9 billion. Several parties, including OMA Energy Group, have filed a motion to reopen the proceedings and establish a procedural schedule so that the factual bases underlying the latest stipulation can be explored in accordance with due process rights. The Commission has not yet acted on the motion.