CASE NO. 20-0745-G-D
HOPE GAS INC., dba DOMINION ENERGY WEST VIRGINIA,
a public utility, Clarksburg, Harrison County
Application to Change Depreciation Rates
CASE NO. 20-0746-G-42T
HOPE GAS INC., dba DOMINION ENERGY WEST VIRGINIA,
a public utility, Clarksburg, Harrison County
Rule 42T application to increase rates and charges
NOTICE OF SUSPENSION OF REQUESTED RATES,
DEADLINE FOR INTERVENTION &
EVIDENTIARY HEARING
On September 30, 2020, Hope Gas, Inc., doing business as Dominion Energy West Virginia (Hope) made a Rule 20 (historical Rule 42) tariff filing to increase gas rates and charges seeking an additional $34.6 million in base rate annual revenue, or an approximate 31% net increase on a total-company basis as compared to current rates. Hope also filed to revise its depreciation rates.
By Order issued October 29, 2020, the Commission suspended the use of the increased depreciation rates and base rates and charges through the end of the day July 27, 2021. If new depreciation rates and base rates and charges are adopted by the Commission, those rates and charges will go into effect on July 28, 2021.
The proposed increases in rates and charges would affect the average monthly bill for the various classes of Hope customers as follows:
$INCREASE %NCREASE
Residential $12.17 20.80%
Samll Commercial $117.98 17.95%
Large Commercial $1,738.10 18.36%
Industrial $2,143.07 16.59%
Resale $1,395.08 15.12%
Production, Gathering and $0.143* 101.74%
* The per dekatherm (dth) increase for this gas gathering and aggregation service is based on an existing rate for service on wet pods of $0.14 per dth, which is based on a required assumption in gas price of $1.987 per dth (using the projected August 2021 DTISP Rate (as of Dec. 10, 2020) less the corresponding basis differential). The new proposed rate of $0.283 per dth is for service on both wet and dry gas pods. This does not include a proposed in-kind retention rate of 8.47% per dth for both fuel and lost and unaccounted for gas, which is an increase of 6.19% over the existing in-kind retention rate of 2.28% for fuel and lost and unaccounted for gas. The existing rate for service on dry gathering pods is higher than that on wet pods so the rate increase for service on dry gas pods is lower than that shown above. Depending on the assumed gas price used to calculate the existing rate, the new proposed rate could be an increase or decrease different from the one shown above.
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 are only a proposal and are subject to change (increases or decreases) by the Public Service Commission in its review of this filing.
Because the new base rates will incorporate the rate impact of the cumulative Pipeline Replacement and Expansion Program (PREP) investment that was placed into service as of December 31, 2019, Hope will reduce the PREP component of its rates relating to that investment when the new base rates go into effect.
Anyone desiring to intervene and act as a party in this case should file within thirty days of the date of this notice, a Petition to Intervene complying with the Commission rules on intervention found within the Rules of Practice and Procedure, 150 C.S.R. 1.
The Commission will conduct the evidentiary hearing at Commission headquarters, 201 Brooks Street, in Charleston beginning at 9:30 a.m. Wednesday, April 21, 2021, continuing if necessary on Thursday, April 22, 2021, and Friday, April 23, 2021. Because of the COVID-19 pandemic, the Commission will not conduct hearings to receive public comment in person and may limit in-person attendance at the evidentiary hearing.
Written comments will be accepted by the Commission through the pendency of this proceeding and should briefly state the reason for the protest or support. Comments may be submitted via email or U.S. Mail, and interested persons may view the evidentiary hearing via an internet livestream. The Commission’s website, www.psc.state.wv.us. has links to “Case Information,” “Submit a Comment,” and “Commission Webcast.”
All Petitions to Intervene and written comments should clearly state the case name and number and be addressed to Connie Graley, Executive Secretary, Public Service Commission of West Virginia, P.O. Box 812, Charleston, West Virginia 25323.
Dec 25