and has provided data showing the increasing cost of replacing these services over the prior 5 years, summarized in Figure 1, below. Figure 1: Cost per Service Line Replaced in Proactive Replacement PECO’s Program contracts entered into through their COC program PECO’s construction will cover the cost of proactively replacing services, preventing continuing cost increases for the term of the contracts. Based on the data provided, the cost per service was 142% higher in 2016 as compared to 2012 and the trend appeared to be heading higher each year. 5-year construction contracts may have prevented that continuing rise by PECO’s presenting price certainty. Disposition Upon review of Second Modified Gas LTIIP and all supplemental PECO’s information filed, the Commission finds that the acceleration in at-risk service line replacements is reasonable, cost-effective and designed to maintain efficient, safe, adequate, reliable and reasonable service to customers and the requirements the Final Implementation Order have been fulfilled. CONCLUSION Upon review, the Commission finds that PECO’s Second Modified Gas LTIIP and manner in which it was filed conforms to the requirements of Act 11 and our Final Implementation Order and the Petition should be granted; THEREFORE, IT IS ORDERED:
and has provided data showing the increasing cost of replacing these services over the prior 5 years, summarized in Figure 1, below. Figure 1: Cost per Service Line Replaced in PECO’s Proactive Replacement Program PECO’s construction contracts entered into through their COC program will cover the cost of proactively replacing services, preventing continuing cost increases for the term of the contracts. Based on the data provided, the cost per service was 142% higher in 2016 as compared to 2012 and the trend appeared to be heading higher each year. PECO’s 5-year construction contracts may have prevented that continuing rise by presenting price certainty. Disposition Upon review of PECO’s Second Modified Gas LTIIP and all supplemental information filed, the Commission finds that the acceleration in at-risk service line replacements is reasonable, cost-effective and designed to maintain efficient, safe, adequate, reliable and reasonable service to customers and the requirements the Final Implementation Order have been fulfilled. CONCLUSION Upon review, the Commission finds that PECO’s Second Modified Gas LTIIP and manner in which it was filed conforms to the requirements of Act 11 and our Final Implementation Order and the Petition should be granted; THEREFORE, IT IS ORDERED: