(A) Availability. This rider is available to a qualifying customer (as defined herein) of the Bremen Electric Light and Power Company (utility) to encourage large electricity users to expand or create new operations within the utility’s service territory.
(B) Qualifications. A QUALIFYING CUSTOMER is:
(1) A new or existing nonresidential customer in the utility’s service territory that is establishing new operations or expanding existing operations;
(2) New or expanded operations must result in new or additional demand of at least one MW (1,000 kilowatts) at one delivery point (the “qualifying demand”);
(3) The peak demand (kilowatts) for the qualifying customer will be recorded monthly and will be the highest 60-minute integrated demand each calendar month;
(4) The customer must invest in new or expanded operations a minimum capital investment of at least $1,000,000 within the utility’s service territory;
(5) A customer is not a QUALIFYING CUSTOMER if:
(a) “New” demand results from a change in ownership of an existing establishment without new qualifying demand;
(b) Increased demand was caused by restoring service following interruptions such as equipment failure, temporary plant shutdown, strike, economic conditions or natural disaster; or
(c) A facility/operations were shifted from an existing facility/operations or customer to another service location within the utility’s service territory.
(6) The utility may determine exclusively, in its sole discretion, without recourse by the customer, whether an event has occurred that would prevent a customer from being a QUALIFYING CUSTOMER.
(C) Qualifying demand measurement.
(1) For a qualifying customer that has established new operations, qualifying demand is measured from zero demand.
(2) For a qualifying customer that has expanded operations, qualifying demand is measured by subtracting the average of the monthly peak demands (60-minute demand) for the 12 months immediately preceding the effective date of the applicable incentive period (specified in the service application) from the monthly peak demand immediately following the effective date of the applicable incentive period.
(3) The customer will be charged for a suitable meter needed to measure the peak demand, and be required to subscribe to the automated energy program, to obtain needed monthly metering data.
(D) Rate incentive.
(1) The applicable incentive period will begin with the incentive period effective date indicated in the service application submitted by the qualifying customer. The utility will receive a credit on its wholesale power bill from the Indiana Municipal Power Agency (IMPA) for the qualifying demand for the applicable incentive period. The incentive amount received by the utility from the IMPA for the qualifying customer will be passed in full to the qualifying customer.
(2) For reference purposes, the discount to the qualifying customer’s wholesale cost for a qualifying new load will be calculated according to the following schedule for the applicable incentive period.
Months 1 – 12 | 20% |
Months 13 – 24 | 15% |
Months 25 – 36 | 10% |
Months 37 – 48 | 10% |
Months 49 – 60 | 5% |
(3) The economic development rate incentive credit will be applied to the qualifying customer’s electric bill at the date of the customer bill immediately after the utility receives the credit from the Indiana Municipal Power Agency.
(E) Terms and conditions.
(1) The qualifying customer must submit a service application to the utility that specifies the following information:
(a) A description of the demand (kilowatts) and nature of the new load;
(b) The basis on which the qualifying customer meets the requirements of this rider;
(c) The qualifying customer’s desired effective date of the new or expanded operation;
(d) Location of the new or expanded operation; and
(e) To receive the incentive, the qualifying customer will be required to certify that no less than one MW of connected new or expanded qualifying demand has been added.
(2) This rider will terminate on the same date that the IMPA’s economic development rider terminates, except that any qualifying customer receiving the rate inceptive at the time of the rider’s termination may continue receiving the incentive for the remainder of the applicable incentive period, provided that the qualifying customer complies with this rider’s requirements.
(F) Applicable rate schedules. This rider is applicable to the following rate schedules:
(1) Large power; and
(2) Mega industrial.
(G) Power cost adjustment. The utility’s power cost adjustment (PCA) charge (see Appendix D of this chapter) will be applicable to bills of qualifying customers who receive the economic development rate incentive credit in accordance with the applicable rate schedules. Credits reported on the utility wholesale bill from the Indiana Municipal Power Agency associated with this rider shall not be a credit to power supply expenses for the purpose of calculating the power cost adjustment (PCA) charge defined in Appendix D.
(Ord. 12-2018, passed 11-26-2018)