PUBLIC SERVICE COMMISSION
OF WEST VIRGINIA
CHARLESTON
CASE NO. 22-0793-E-ENEC
MONONGAHELA POWER COMPANY AND
THE POTOMAC EDISON COMPANY
Petition and General Investigation to determine
Reasonable rates and charges for Monongahela
Power Company and The Potomac Edison Company
on and after January 1, 2023.
NOTICE OF PUBLIC COMMENT
HEARING
In its December 20, 2022 order in this case, the Public Service Commission of West Virginia (Commission) directed Monongahela Power Company and The Potomac Edison Company (collectively, Companies) to file as a closed entry in this case not later than March 31, 2023, a report summarizing their evaluation of the potential acquisition of the Pleasants Power Station (Pleasants) in Pleasants County, West Virginia. On March 31, 2023, the Companies made a filing in which they indicated that their analysis was still in process. In that filing, the Companies also provided an update on certain developments at Pleasants, identifying the possibility that without additional action, Pleasants could cease operations as of June 1, 2023, noting that if that occurs, then it would be difficult to restart operations there.
For these reasons, the Companies proposed that Mon Power be authorized to enter into an arrangement with the current owner of Pleasants that would enable Mon Power to ensure that Pleasants is maintained in operable condition and that its employees are retained after June 1, 2023.
The Companies contended that a temporary surcharge would be required to enable them to recover the anticipated cost of these efforts, estimated to be $3 million per month, as well as costs associated with the Companies’ continued evaluation of the potential acquisition of Pleasants. Details of the Companies’ March 31, 2023 filing and the surcharge can be found on the Commission’s website at http://www.psc.state.wv.us.
The Companies requested that the Commission authorize the surcharge to be implemented on June 1, 2023. The incremental revenue increase due to the surcharge is estimated to be approximately $3 million per month from June 2023 to May 2024, unless terminated earlier by the Commission. The surcharge will be subject to continuing review by the Commission.
The average monthly bill impacts of the proposed surcharge for the Companies’ various classes of customers are estimated to be as follows:
Total Rate Impact of Temporary Surcharge
Percentage
Average Increase Change
Per Customer Per Month 2.2%
Residential $2.67 2.2%
Commercial $8.44 2.4%
Industrial $4,416.32 0.1%
Streetlighting $0.40 2.3%
Total
The surcharge increases are based on averages of all customers in the indicated class. Individual customers may receive changes that are greater or less than average. Additionally, cost allocation as approved by the Commission among customer classes could increase or decrease the estimated bill impacts. The requested rates and charges are only a proposal and are subject to change (increases or decreases) by the Commission in its review of this filing. Any increase or decrease in rates and charges will not become effective until authorized and approved by the Commission.
In addition to a previously noticed evidentiary hearing to be held on April 21, 2023, at 9:30 a.m., in the Howard M. Cunningham Hearing Room at the Public Service Commission, 201 Brooks Street, Charleston, West Virginia, the Commission has scheduled for a public comment hearing on Thursday, April 20, 2023. The public comment hearing will begin at 3:30 p.m. in the Howard M. Cunningham Hearing Room at the Public Service Commission, 201 Brooks Street, Charleston, West Virginia. Interested persons intending to attend the public comment hearing should monitor the Commission web docket.
MONONGAHELA POWER COMPANY
and
THE POTOMAC EDISON COMPANY
4/17