Texas PUC Approves Territory-Specific Rates For AEP DCRF Charges To REPs
August 31, 2018 Email This Story Copyright 2010-17 EnergyChoiceMatters.com
Reporting by Paul Ring • email@example.com
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The Public Utility Commission of Texas approved territory-specific Distribution Cost Recovery Factors, charged to retail electric providers, at AEP Texas, after discussing language in PURA regarding the application of "system-wide" DCRF rates
As first reported by EnergyChoiceMatters.com, PUCT Chairman DeAnn Walker had noted in a memo that Public Utility Regulatory Act (PURA) § 36.210(a)(5) provides that DCRF adjustments are to, "be applied by the electric utility on a system-wide basis." Walker raised concern that an unopposed settlement, which proposes to set unique DCRFs for AEP Texas' Central and North divisions, did not comply with this provision
During yesterday's open meeting, counsel for AEP Texas said that such "system-wide" language in PURA is in the context of cities with original jurisdiction, which have jurisdiction over the DCRF, unlike certain other riders. The system-wide provision in PURA is in the context of ensuring the same DCRF rates apply in areas in which cities have original jurisdiction, and areas in which the PUC has sole jurisdiction.
PUC Staff also noted that PURA does not define the term "system-wide."
Based on such discussions, Commissioners agreed that adopting the settlement with unique DCRF rates for the Central and North divisions is appropriate and approved the rates contained in the settlement