PUBLIC SERVICE COMMISSION OF WEST VIRGINIA CHARLESTON
CASE NO. 22-0045-E-US
APPALACHIAN POWER COMPANY and
WHEELING POWER COMPANY,
public utilities.
Application for Approval of the Purchase of a Renewable Electric Generating Facility at an Eligible Site in West Virginia and for Associated Cost Recovery Pursuant to W. Va. Code § 24-2-10
NOTICE OF FILING AND HEARING
On January 26, 2022, Appalachian Power Company (APCo) and Wheeling Power Company (WPCo) (together, the Companies) filed an application, duly verified, for the Commission’s approval of the purchase of a 50 MW solar electric generating facility in Berkeley County, West Virginia, and associated cost recovery via implementation of a Renewable Power Plus Tariff (RPP Tariff). To the extent costs are not recovered via the RPP Tariff or from Special Contract customers, they will be recovered from all other customers via a new West Virginia Solar Rider, pursuant to W. Va. Code § 24-2-1o. The Companies believe that the solar facility will bolster economic development, create jobs, and further the public interest in this State by helping to attract and retain customers who require at least a portion of the electricity they purchase to be generated by renewable sources.
The Companies’ application is on file with and available for public inspection at the Public Service Commission, 201 Brooks Street, Charleston, WV 25301.
The proposed RPP Tariff is a voluntary tariff offered to all customers in addition to the Companies’ standard tariff offerings. It is anticipated that a portion of the costs of the solar project will be paid by the customers subscribing to the RPP Tariff and from Special Contract customers. Cost recovery from customers subscribing to the RPP Tariff or through Special Contracts will reduce the revenue requirements paid by other customers through the Solar Tariff Rider. The total revenue requirement for the Project is expected to be $8.3 million in the first year after the project goes into service (Year 1), which is expected in 2024. APCo serves customers in Virginia and in West Virginia. The West Virginia jurisdictional revenue requirement is projected to be $3.4 million in Year 1 and is presented as “Gross Cost – No Offsets” in the tables below. Any costs not paid for by customers subscribing to the RPP Tariff or recovered from other revenue produced by the solar facility will be recovered by a surcharge paid by all other customers. Based on the Companies’ projections of revenues from customers subscribing to the RPP Tariff or through Special Contracts the balance which the Companies project will be paid by other West Virginia customers is presented as the “Companies’ Filed Proposal” in the tables below.
The total Project revenue requirement is projected to gradually increase from $8.3 million in Year 1 (2024) to $9.0 million in Year 7 (2030). The “Gross Cost – No Offsets” total West Virginia allocated Year 1 (2024) revenue requirement of $3.4 million is projected to increase gradually to $3.7 million in Year 7 (2030). Thereafter, the revenue requirements are projected to decrease gradually.
The increases shown are based on averages of all customers in the indicated class. Individual customers may receive increases that are greater or less than average. Furthermore, the requested rates and charges among the various classes of customers are only a proposal and are subject to change (increases or decreases) by the Public Service Commission in its review of the Companies’ filing.
The Commission has set a procedural schedule, including a hearing on the Companies’ application, if necessary, that will begin at 9:30am on May 24, 2022 and continuing May 25, 2022 if necessary, in the Howard M. Cunningham Hearing Room at the Commission’s offices at 201 Brooks Street, Charleston, West Virginia. The Commission will take public comment at the beginning of the evidentiary hearing or in writing at the address below. If no opposition to the Companies’ application is received, the hearing may be waived and the Commission may issue a final order within 150 days of the application filing date.
Anyone desiring to intervene in the matter should file a written petition to intervene on or before April 20, 2022. All requests to intervene should briefly state the reason for the request and comply with the rules on intervention set forth in the Commission’s Rules of Practice and Procedure. All written public comments and requests to intervene should state the case name and number and be addressed to Karen Buckley, Acting Secretary, P.O. Box 812, Charleston, WV 25323. Public comments may also be filed online at http://www.psc.state.wv.us/scripts/onlinecomments/default.cfm by clicking the “Formal Case” link.
APPALACHIAN POWER COMPANY and
WHEELING POWER COMPANY