PUBLIC SERVICE COMMISSION
OF WEST VIRGINIA
CHARLESTON
CASE NO. 23-0377-E-ENEC
APPALACHIAN POWER COMPANY and
WHEELING POWER COMPANY
Petition to initiate the annual review and update to the ENEC rates currently in effect.
and
CASE NO. 22-0393-E-ENEC
APPALACHIAN POWER COMPANY AND
WHEELING POWER COMPANY
Petition to Initiate the Annual Review and to Update the ENEC Rates Currently in Effect.
and
CASE NO. 21-0339-E-ENEC
APPALACHIAN POWER COMPANY AND
WHEELING POWER COMPANY
Petition to Initiate the Annual Review and to Update the ENEC Rates Currently in Effect.
NOTICE OF FILING AND HEARINGS
On April 28, 2023, Appalachian Power Company and Wheeling Power Company (jointly the Companies) filed their 2023 petition to initiate the annual review and update of Expanded Net Energy Cost (ENEC) rates. Also on April 28, 2023, Commission Staff filed, in Case Nos. 21-0339-E-ENEC and 22 0393 E ENEC, the prudency review report written by Critical Technologies Consulting. The Commission initiated the 2023 ENEC and reopened the 2021 and 2022 ENECs on May 26, 2023.
The Companies are seeking an ENEC increase of $641.7 million, including an under recovery balance of $552.9 million, as of February 28, 2023, that the Commission deferred over the last three ENEC cases (deferral amount), and an estimated $88.8 million in fuel costs for the current year. Under a traditional one-year recovery, the requested $641.7 million in fuel costs would require an increase of approximately 37% over current revenues. In order to minimize the impact on customers, the Companies are instead proposing two alternative recovery mechanisms.
The first proposed option in the 2023 case would spread recovery of the deferral amount over three years and additionally raise rates by $88.8 million to align ENEC costs with ENEC revenues. If this alternative recovery mechanism is approved, the average monthly bill for the various classes of customers will be changed as follows:
($) Increase (%) Increase
Residential $19.61 12.1%
Commercial $68.44 16.3%
Industrial $57,715 23.4%
Special Contracts $110,362 21.9%
Other $1.63 10.0%
The second proposed option utilizes securitization of the deferral amount and other cost items and raises rates by $88.8 million to align ENEC costs with ENEC revenues. If this alternative recovery mechanism is approved, the average monthly bill for the various classes of customers will be changed as follows:
($) Increase (%) Increase
Residential $5.69 3.5%
Commercial $21.16 5.0%
Industrial $18,074 7.3%
Special Contracts $25,756 5.1%
Other $0.57 3.5%
Public comment hearings will be held on the following dates in the following locations: July 11, 2023 at 5:30 p.m., Cabell County Courthouse, County Commission Courtroom, 750 5th Ave., Huntington, WV; July 12, 2023 at 5:30 p.m., Mercer County Courthouse, Judge Sadler’s Courtroom, 2nd Floor 1501 W. Main Street, Princeton, WV; July 24, 2023 at 5:30 p.m., Howard M. Cunningham Hearing Room, 201 Brooks Street, Charleston, WV; and August 21, 2023 5:30 p.m., Ohio County Courthouse, Judge Cuomo’s Courtroom, 2nd Floor, 1500 Chapline Street, Wheeling, WV. An evidentiary hearing will be held on September 5, 2023, beginning at 9:30 a.m., in the Howard M. Cunningham Hearing Room at the Commission’s offices at 201 Brooks Street, Charleston, WV.
Anyone desiring to intervene and act as a party in Case No. 23 0377 E ENEC should file a Petition to Intervene on or before June 30, 2023, complying with the rules on intervention set forth in the Commission’s Rules of Practice and Procedure. Anyone desiring to protest should file a written protest as soon as possible although protests will be accepted throughout the pendency of all three proceedings. All written protests should briefly state the reason for the protest. All protests and Petitions to Intervene should state the case name and number and be addressed to Karen Buckley, Executive Secretary, P.O. Box 812, Charleston, WV 25323.
APPALACHIAN POWER COMPANY and
WHEELING POWER COMPANY
ID: 715979