to the EDC for generation, transmission, distribution and surcharges by retail customers. 66 Pa. C.S. § 2806.1(m). In our we addressed Duquesne’s concern that a Implementation Order, significant portion of its customers receive their energy supply from an alternate supplier, or an EGS. We concluded that the General Assembly intended Act 129 to be competitively neutral and not disadvantage EDCs that had active retail electric markets. at 35. Duquesne’s Plan presents total annual EDC revenues for Implementation Order calendar year 2006 of approximately $723 million ($723,299,451), and 2% of this amount is approximately $14 million ($14,465,989). The Commission interprets paid to the [EDC] for generation, “amounts transmission, distribution and surcharges by retail customer,” set as the definition of EDC total annual revenue in 66 Pa. C.S. § 2806.1(m), to include all amounts paid to the EDC for generation service, including generation revenues collected by an EDC for an EGS that uses consolidated billing. at 35. Duquesne’s total Implementation Order annual POLR generation and transmission revenues for 2006 were approximately $254 million ($253,998,128), and 2% of this amount is approximately $5 million ($5,079,962). The combined total revenue upon which the 2% allowable program cost is measured is approximately $977 million ($977,297,579), accordingly, the 2% program cap is approximately $19.5 million ($19,545,951) on an annual basis. Duquesne Plan, Figure 46 at 109; Duquesne St. No. 1 at 8. In our we concluded that regard to the 2% Implementation “[w]ith limitation provision of the Act, we agree with PPL Electric that this limitation on the cost of any plan’ should be interpreted as an annual amount, rather than an amount ‘total for the full term of the Plan.” at 34. Duquesne has relied on the Implementation Order, Commission’s determination regarding the allowable total cost and, accordingly, has constructed its Plan using $19.5 million as an annual cost for each of the Plan’s four
to the EDC for generation, transmission, distribution and surcharges by retail customers. 66 Pa. C.S. § 2806.1(m). In our Implementation Order, we addressed Duquesne’s concern that a significant portion of its customers receive their energy supply from an alternate supplier, or an EGS. We concluded that the General Assembly intended Act 129 to be competitively neutral and not disadvantage EDCs that had active retail electric markets. Implementation Order at 35. Duquesne’s Plan presents total annual EDC revenues for calendar year 2006 of approximately $723 million ($723,299,451), and 2% of this amount is approximately $14 million ($14,465,989). The Commission interprets “amounts paid to the [EDC] for generation, transmission, distribution and surcharges by retail customer,” set as the definition of EDC total annual revenue in 66 Pa. C.S. § 2806.1(m), to include all amounts paid to the EDC for generation service, including generation revenues collected by an EDC for an EGS that uses consolidated billing. Implementation Order at 35. Duquesne’s total annual POLR generation and transmission revenues for 2006 were approximately $254 million ($253,998,128), and 2% of this amount is approximately $5 million ($5,079,962). The combined total revenue upon which the 2% allowable program cost is measured is approximately $977 million ($977,297,579), accordingly, the 2% program cap is approximately $19.5 million ($19,545,951) on an annual basis. Duquesne Plan, Figure 46 at 109; Duquesne St. No. 1 at 8. In our Implementation we concluded that “[w]ith regard to the 2% limitation provision of the Act, we agree with PPL Electric that this limitation on the ‘total cost of any plan’ should be interpreted as an annual amount, rather than an amount for the full term of the Plan.” Implementation Order, at 34. Duquesne has relied on the Commission’s determination regarding the allowable total cost and, accordingly, has constructed its Plan using $19.5 million as an annual cost for each of the Plan’s four
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