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Summary
AEP Texas Central Company (TCC) is seeking approval from the Public Utility Commission of Texas (PUCT) to increase its transmission and distribution (T&D) rates charged to the Retail Electric Providers (REPs) as shown below. Once approved, it would be at the REPs’ discretion as to how much, if any, of the increase would be passed along to the end-use customers.
Within the Electric Reliability Council of Texas (ERCOT), the transmission coordinator throughout most of Texas, the transmission component is paid by all end-use customers. Therefore, the requested transmission increase shown below will not be borne solely by the end-use customers in TCC’s service territory, but rather by electric customers all across ERCOT.
| TCC overall impact |
$ Millions |
| Distribution |
$ 61.7 |
| Transmission |
$ 21.0 |
| Total T&D impact |
$ 82.7 |
| TCC distribution impact (1) |
$ Millions |
| Requested amount |
$ 41.7 |
| Expiration of merger credits (2) |
$ 20.0 |
| Total distribution impact |
$ 61.7 |
| TCC transmission impact (3) |
$ Millions |
| Requested amount |
$ 21.0 |
Residential customer impact (1,000 kWh per month) |
| T&D wires increase |
$ 4.17 |
T&D wires percent increase (increase on wires portion only, approximately 20% of overall customer bill) |
14% |
| Percent increase on end-use customer total bill (4) |
<3% |
Notes:
(1) TCC’s average distribution percent increase across all customer classes is approximately 16%, including the expiration of the merger credits.
(2) Certain credits related to the AEP/CSW 2000 merger will expire when the rates from this proceeding become effective.
(3) TCC’s increase to its transmission cost of service (TCOS) rate will be $0.38 per kW, or approximately 25%.
(4) The percent increase on the end-use customer’s total bill was calculated using information from the PUCT’s Power to Choose website, which showed a CPL Retail Energy bill of $161.00 for September 2006 (the latest month shown on the website). It does not include the TC-2 charges or the CTC refund charges, which went into effect in October 2006.