943.10 POWER COST ADJUSTMENT CHARGES RIDER "A" (Rider A).

   (a)   Purpose. This PCA calculation shall be based on forward looking projections of power supply related costs and kWh sales for the period. The calculation shall be performed at six month intervals or more frequently if required, to accomplish recovery of power supply related costs in a timely manner. The calculation includes a provision to reconcile over or under collection of costs from previously periods based on actual cost versus projected cost for the period.

   (b)   Calculation. The formula for calculating the power cost adjustment (PCA) is:

      PCA = PCC + RA

      Where:

PCC = Power cost component as determined below, expressed in dollars per kilowatt hour.

RA = Reconciliation adjustment as determined below, expressed in dollars per kilowatt hour.

   (c)   Application. The Utility shall review the Power Cost Adjustment calculation and shall project its power supply costs for the periods beginning August and February, respectively. The Utility shall, when it deems necessary, make adjustments to its rate schedule energy charges in future billings to customers for such period as it deems necessary to accomplish the purposes of this Rider in a timely manner.

   (d)   Definitions.

      PC = Power Cost, which is:

      (1)   The sum of:

         A.   The fuel costs of City-owned generating facilities,

         B.   Variable operation and maintenance costs of City-owned generating facilities,

         C.   The purchased power costs,

         D.   AMP Dispatch Center, Energy Services and Membership Fees,

         E.   All transmission charges,

         F.   SO2 and seasonal NOx allowance costs,

         G.   Fees, taxes and payments in lieu of taxes incurred by:

            1.   City-owned generating facilities,

            2.   Transmission and transformation facilities required to transmit generation to the City, and

         H.   PJM RPM capacity obligation charges, less

      (2)   Amounts received for:

         A.   Off-system sales of capacity and energy,

         B.   Sale of renewable energy credits and SO2 and seasonal NOx emission allowances,

         C.   Use of City-owned transmission and distribution facilities, and

         D.   PJM RPM capacity credits.

         PPC = Projected PC.

         APC = Actual PC for the preceding collection period.

         S = Sales excluding:

      (1)   Sales for off-system sales of energy (opportunity sales), and,

      (2)   On-system energy sales the charges for which are not subject to adjustment by the PCA, expressed in kilowatt-hours.

         PS = Projected S.

         AS = Actual S for the preceding collection period.

          (Ord. 2014-11-105. Passed 11-19-14.)

          BPC = Base Power Cost of $0.07746 per kWh.

         (Ord. 2016-12-120. Passed 12-21-16.)

         PCR = Power cost revenue which is the sum of:

      (1)   The PCC billed during the preceding collection period and

      (2)   The BPC, expressed in dollars per kilowatt-hour.

   (e)   Power Cost Component. The formula for calculating the power cost components (PCC) is:

      PCC = PPC - BPC

       PS

   (f)   Reconciliation Adjustment. The formula for calculating the reconciliation adjustment (RA) is:

      RA = APC - PCR

          AS

(Ord. 2014-11-105. Passed 11-19-14.)