Texas TDU Files To Increase Residential, Secondary ≤ 10 kW DCRF Rates Charged To REPs by 25%

AEP Texas has filed a petition with the Public Utility Commission of Texas to update the Distribution Cost Recovery Factors (Rider DCRF) for its Central and North divisions, effective September 1, 2018.

For AEP Texas' North Division, AEP Texas is seeking about a 25% increase in the DCRF charge for each of the Residential and Secondary ≤ 10 kW classes.

The residential increase proposed for the North division is about 1 mill per kWh.

The Secondary ≤ 10 kW increase proposed for the North division is about 3 mills per kWh.

In AEP's Central Division, the proposed new DCRFs for the residential and Secondary ≤ 10 kW classes are less than 1% lower than the current DCRF charges.

The changes reflect an approximately $3.9 million increase in the revenue requirement for the North Division and approximately $800,000 decrease for the Central Division

AEP Texas Central's proposed DCRFs are below:

AEP Texas Central - Proposed DCRF, Effective 9/1/18

Residential             $0.003289 per kWh
Secondary ≤ 10 kW       $0.008832 per kWh
Secondary > 10 kW 10 kW
  IDR                   $0.700069 per kW
  Non IDR               $0.700069 per kW
Primary Service
  IDR                   $0.555586 per kW
  Non IDR               $0.555586 per kW
Transmission            $0.010284 per kW
Lighting                $0.008832 per kWh

For comparison, AEP Texas Central's current DCRFs are:

Residential             $0.003311 per kWh
Secondary ≤ 10 kW       $0.008890 per kWh
Secondary > 10 kW 10 kW
  IDR                   $0.709806 per kW
  Non IDR               $0.709806 per kW
Primary Service
  IDR                   $0.546808 per kW
  Non IDR               $0.546808 per kW
Transmission            $0.010705 per kW
Lighting                $0.008890 per kWh

AEP Texas North's proposed DCRFs are below:

AEP Texas North  - Proposed DCRF, Effective 9/1/18

Residential             $0.005322 per kWh
Secondary ≤ 10 kW       $0.014616 per kWh
Secondary > 10 kW 10 kW
  IDR                   $0.938390 per kW
  Non IDR               $0.938390 per kW
Primary Service
  IDR                   $0.421410 per kW
  Non IDR               $0.421410 per kW
Transmission            $0.033887 per kW
Lighting                $0.014616 per kWh

For comparison, AEP Texas North's current DCRFs are:

Residential             $0.004275 per kWh
Secondary ≤ 10 kW       $0.011636 per kWh
Secondary > 10 kW 10 kW
  IDR                   $0.760182 per kW
  Non IDR               $0.760182 per kW
Primary Service
  IDR                   $0.321971 per kW
  Non IDR               $0.321971 per kW
Transmission            $0.027635 per kW
Lighting                $0.011636 per kWh