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Sharyland Utilities Proposes New Riders Applicable To Texas Retail Electric Providers In Updated Rate Case

McAllen Residential Rates To See 65% Increase ($55 Per Month)

January 3, 2017

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Copyright 2010-17 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

Sharyland Utilities has filed an amended rate filing package with the Public Utility Commission of Texas that would, in addition to new levels for base rates, impose new riders on retail electric providers.

Among the proposed new riders is Rider Deferred Cost Recovery Charge (DCRC), which would recover certain deferred costs associated with the start-up of Sharyland.

Proposed levels for Rider DCRC are:

Residential          $0.000573 per kWh
Secondary ≤ 10 kW    $0.000557 per kWh
Secondary > 10 kW    $0.101798 per NCP kW
Primary              $0.090959 per NCP kW
Transmission         $0.001400 per NCP kW
Lighting             $0.251924 per Light

Sharyland is also proposing a second transition to competition rider, Rider TTCC2, to recover certain costs associated with moving the former Cap Rock service area to be entirely within ERCOT, as well as certain backoffice costs associated with moving to retail choice

Proposed levels for Rider TTCC2 are:

Residential          $0.000237 per kWh
Secondary ≤ 10 kW    $0.000220 per kWh
Secondary > 10 kW    $0.041750 per NCP kW
Primary              $0.035477 per NCP kW
Transmission         $0.000118 per NCP kW
Lighting             $0.105249 per Light

Sharyland is also proposing a second rate case expense rider (RCE2).

Proposed levels for Rider RCE2 are:

Residential          $0.000686 per kWh
Secondary ≤ 10 kW    $0.000639 per kWh
Secondary > 10 kW    $0.110247 per NCP kW
Primary              $0.157161 per NCP kW
Transmission         $0.003839 per NCP kW
Lighting             $0.186804 per Light

Sharyland's application would introduce system-wide delivery rates applicable to all of its territories, rather than the unique rates applicable to each division.

As a result, and consistent with Sharyland's earlier filing, implementation of cost-based, system-wide rates would result in residential rates for the McAllen division increasing from current rates by 62.36% to 65.96% for base delivery charges.

For the Stanton, Brady, and Celeste divisions (ex-Cap Rock), residential rates would be reduced from current rates by 2.85% to 3.48% for base delivery charges.

For residential customers, Sharyland proposes to establish a monthly customer charge of $5.69 per Retail Customer and monthly metering charge of $4.31 per Retail Customer ($10 total). This is the current level for the charges at the ex-Cap Rock territories, but is a significant change for the McAllen division, where the current charges total $6.74 per month.

Sharyland said that with riders included, the monthly bill for an average Stanton-Brady-Celeste residential customer will remain essentially the same, while the monthly bill for an average McAllen residential customer would increase $55 overall, similar to what was proposed in the original filing back in April 2016.

As in its prior rate proposal, Sharyland is also proposing a new optional rate class for churches and places of religious worship which is an energy-based rate, to address concerns with churches that were placed into the Secondary Greater Than 10 kW rate class which includes a demand charge

Docket 45414

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