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PUCO Approves One Nonbypassable Generation Rider at DP&L, Denies Another
The Public Utilities Commission of Ohio has approved implementation of a nonbypassable rider for certain deferred generation costs at Dayton Power & Light, but denied making additional deferred transmission costs nonbypassable.
Specifically, PUCO approved DP&L's application to implement a nonbypassable reconciliation rider (RR-N), whose existence was previously approved under DP&L's electric security plan to recover any deferred balance that exceeds 10 percent of the base amount of bypassable riders FUEL, RPM, AER, and CBT.
PUCO agreed that a deferral balance has exceeded 10%, allowing DP&L to implement the rider. PUCO's approval was conditioned on adjustment for the annual audit of the FUEL and CBT riders, as PUCO, "share[s] Staff's concern regarding the reliability of DP&L's forecasts to determine the threshold of the base amounts of the riders."
"For this reason, we adopt Staff's recommendation for DP&L to work with Staff regarding the forecasting methodology and provide to Staff the variance analyses upon request. If the FUEL or CBT riders' actual expenses significantly vary from the forecast used to calculate the RR-N, then DP&L or Staff should file an issues list in this case," PUCO said.
The approved nonbypassable RR-N rate for all kilowatt-hours for the period June 1, 2014 through August 31, 2014, is $0.0014240 per kWh (Case 14-0629-EL-RDR).
Separately, in Case 14-0358-EL-RDR, PUCO denied DP&L's petition to transfer certain deferred costs from its bypassable transmission cost recovery rider (TCRR-B) to its nonbypassable transmission cost recovery rider (TCRR-N)
DP&L was seeking to include any deferral amount that exceeds 10 percent of the base costs of the TCRR-B in the TCRR-N.
"We find that DP&L's proposal to include any deferral amount that exceeds 10 percent of the base costs of the TCRR-B in the TCRR-N should be denied. Therefore, we find that DP&L's amended application to update its TCRR-N should be denied, and that DP&L should file revised tariffs," PUCO said
"TCRR-B deferral amounts should remain in the TCRR-B and should be recovered by DP&L over three months," PUCO said.
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May 29, 2014
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Reporting by Karen Abbott • kabbott@energychoicematters.com
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