PUC Sets New Amounts For Purchase Of Receivables Discount Rates, Merchant Function Charges
October 9, 2020 Email This Story Copyright 2010-20 EnergyChoiceMatters.com
Reporting by Paul Ring • email@example.com
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The Pennsylvania PUC adopted an order in a UGI Utilities - - Gas Division rate case that establishes new amounts for the purchase of receivables (POR) discount rates and Merchant Function Charges (MFC)
Under the adopted settlement's revisions to the POR discount, for Purchased Customer Accounts, UGI shall pay
Choice Supplier an amount equal to 97.69% of residential amounts billed
(inclusive of associated sales taxes), versus the current 97.78%.
UGI shall pay
Choice Supplier an amount equal to 99.58% of non-residential amounts
billed (also inclusive of taxes), versus the current 99.62%
The settlement also adopted new Merchant Function Charges
Under the settlement, the Rule 13, Rider D, Merchant Function Charge increased for Residential PGC (purchased gas cost, default service) customers to 2.17%, from 2.08%. As stated in a tariff accompanying the adopted settlement, the new MFC percent results in a Merchant Function Charge for Rate R customers of $0.01016 per CCF, versus the current MFC of $0.00908 per CCF.
For Non-Residential PGC Customers the Rule 13, Rider D, Merchant Function Charge increased to 0.28% from 0.24%. As stated in a tariff accompanying the adopted settlement, the new MFC percent results in a Merchant Function Charge for Rate N customers of $0.0131 per MCF, versus the current MFC of $0.0105 per MCF.
The new MFC results in new Prices to Compare, as the MFC is part of the Price to Compare.