SCEG OATT Formula Transmission Rate Filing.pdf - SCANA ...

20091231-0037 FERC PDF (Unofficia1) 12/29/2009
Direct Testimony of Alan C. Heintz
Docket ER 10-_-000
Page 6 of28
Exhibit No. SCE-8
Company ("BGE") and the operating affiliates of PHI Holdings, Inc. - Potomac Electric
2 Power Company, Delmarva Power & Light Company and Atlantic City Electric
3 Company. The process of developing the formulaic ATRR included examination of
4 other formulas the Commission has authorized, such as those employed by transmission
S
owners ("TOs") who are members of MISO and the individual formulas of other TOs,
6 such as Northeast Utilities Company, American Transmission Company, LLC, Boston
7 Edison Company, and San Diego Gas and Electric Company. The BGE formula was
8 filed at FERC in Docket No. EROS-SIS and a final formula was the result of a negotiated
9 settlement that was approved by the Commission in April 2006. See Baltimore Gas and
10 Electric Company, lIS FERC ~ 61,066 (2006).
11 Subsequently, two other TOs filed very similar formulas. The Commission accepted the
12 formula filed by Duquesne Light Company in Docket No. ER06-14S9. See Duquesne
13 Light Company, 118 FERC ~ 61,087 (2007). The Commission also accepted the formula
14 filed by Commonwealth Edison Company in Docket No. ER07-S83-000. See
IS Commonwealth Edison Company, et al., 119 FERC ~ 61,238 (2007). Both of these
16 formulas were subsequently approved by the Commission as settlement agreements. The
17 formula proposed by SCE&G is essentially the same as that filed in August 2008 by PPL
18 Electric Utilities Corporation and accepted by the Commission in Docket No. ER08-
19 14S7-000, PPL Electric Utilities Corporation, 12S FERC ~ 61,121 (2008).
20 III. FORMULA RATE IN DETAIL
21 Q. PLEASE PROVIDE AN OVERVIEW OF SCE&G'S PROPOSED FORMULA
22 RATE METHODOLOGY.