Control Number : 42565 Item Number : 1 Addendum StartPage : 0 PUC DOCKET NO. PETITION OF CENTERPOINT ENERGY HOUSTON ELECTRIC FOR UPDATE TO ITS TRANSMISSION COST RECOVERY FACTOR PURSUANT TO P.U.C. SUBSTANTIVE RULE §25.193(b) ((^ § PUBLIC UTILITY COMMISSION" § § § § § OF TEXAS PETITION OF CENTERPOINT ENERGY HOUSTON ELECTRIC, LLC FOR TRANSMISSION COST RECOVERY FACTOR UPDATE May 30, 2014 Contact: DeAnn T. Walker 512-397-3032 512-397-3050 (fax) [email protected] Table of Contents Page Petition for TCRF Update ......................................................................................................2-5 Attachment A - Calculation of TCRF Charge .....................................................................6-11 Attachment B - Proposed Rider TCRF- Transmission Cost Recovery Factor ................12-15 Attachment C - Proposed Notice to Retail Electric Providers ...........................................16-17 Attachment D - Workpapers .................................................................................................18-28 Certificate of Service ...............................................................................................................29 Electronic File: CNP TCRF Rate Update 9-1-14.xlsx 1 PUC DOCKET NO. PETITION OF CENTERPOINT ENERGY HOUSTON ELECTRIC FOR UPDATE TO ITS TRANSMISSION § § § COST RECOVERY FACTOR § PURSUANT TO P.U.C. SUBSTANTIVE RULE §25.193(b) § § PUBLIC UTILITY COMMISSION OF TEXAS PETITION OF CENTERPOINT ENERGY HOUSTON ELECTRIC, LLC FOR TRANSMISSION COST RECOVERY FACTOR UPDATE CenterPoint Energy Houston Electric, LLC ("CenterPoint Energy") requests that the Public Utility Commission of Texas ("the Commission") grant this petition to implement an update to its transmission cost recovery factor ("TCRF"). The petition is filed pursuant to P.U.C. Substantive Rule 25.193(b). 1. Background CenterPoint Energy is a transmission and distribution utility. CenterPoint Energy's current Tariff for Retail Delivery Service ("the Tariff') includes a TCRF clause (Rider TCRF - Transmission Cost Recovery Factor, Sheet No. 6.13). The TCRF Rider authorizes CenterPoint Energy to charge or credit its customers for the cost of wholesale transmission cost changes approved or allowed by the Commission to the extent that such costs vary from the transmission service cost utilized to set CenterPoint Energy's delivery rates. P.U.C. Subst. R. 25.193(b) authorizes CenterPoint Energy as a distribution service provider ("DSP") to update its TCRF on March 1 and September 1 of each year. The purpose of an update is to pass through to the DSP's customers the changes in wholesale transmission costs since the last TCRF rate update effective March 1, 2014, that are billed by the various transmission service providers ("TSPs") to the DSPs. 2 CenterPoint Energy seeks approval of an adjustment to its Rider TCRF for changes in wholesale transmission rates that have been approved or allowed by the Commission and an adjustment pursuant to P.U.C. Subst. R. 25.193(b)(2)(B). Also, included in the proposed TCRF is the rate case expense and other surcharges approved in the following dockets: Docket No. 40599, Application of Lone Star Transmission, LLC for Rate Case Expense Severed from PUC Docket No. 40020; Docket No. 40832, Application of Cross Texas Transmission, LLC for Rate Case Expenses Pertaining to Docket No. 40604; and Docket No. 40853, Application of Wind Energy Transmission Texas, LLC for Rate Case Expenses Severed from PUC Docket No. 40606. These adjustments to Rider TCRF are shown in Section 2 of Attachment A. A revised tariff sheet, Rider TCRF - Transmission Cost Recovery Factor, Sheet No. 6.13, reflecting the charges being requested by CenterPoint Energy, is included as Attachment B. II. Requested Relief Pursuant to P.U.C. Subst. R. 25.193(b) and consistent with P.U.C. Proc. R. 22.33(c), CenterPoint Energy seeks approval of an adjustment to its Rider TCRF as discussed above. CenterPoint Energy requests that its updated TCRF charges become effective for inclusion on invoices to Retail Electric Providers ("REPs") for scheduled meter readings on and after September 1, 2014. CenterPoint Energy further requests that this petition be approved administratively prior to September 1, 2014. CenterPoint Energy proposes to send notice and a copy of this petition to the authorized representatives of all certified REPs listed on the Commission's web site. Attachment C is the proposed notice. 3 In support of this petition, CenterPoint Energy includes the following information: • Attachment A: Calculation of the TCRF for changes in the wholesale transmission cost since CenterPoint Energy's last rate case, Docket No. 38339, Application of CenterPoint Energy Houston Electric, LLC for Authority to Change Rates, and an adjustment pursuant to P.U.C. Subst. R. 25.193(b)(2)(B). • Attachment B: Proposed Rider TCRF - Transmission Cost Recovery Factor, Sheet No. 6.13, effective for scheduled meter readings on and after September 1, 2014. • Attachment C: Proposed Notice to Retail Electric Providers. • Attachment D: Workpapers III. Authorized Representative The telephone number and address of CenterPoint Energy's authorized legal representative are as follows: DeAnn T. Walker Associate General Counsel CenterPoint Energy Houston Electric, LLC 1005 Congress, Suite 650 Austin, Texas 78701 Telephone: 512-397-3032 Facsimile: 512-397-3050 E-mail: deann.walker&CenterPointEnergy.com 4 -IV. Conclusion For the reasons stated in this petition and based on the information provided M i the Attachments, CenterPoint Energy respectfully requests implementation of the updated TCRF contained within Attachments A and B effective for inclusion on invoices to REPs for scheduled metering readings on and after September 1, 2014. Respectfully submitted, l, DEANN T. WALKER State Bar No. 20696840 1005 Congress, Suite 650 Austin, Texas 78701 (512) 397-3032 (512) 397-3050 (fax) ATTORNEY FOR CENTERPOINT ENERGY HOUSTON ELECTRIC, LLC ATTACHMENT A CALCULATION OF TCRF CHARGE FOR CHANGES IN WHOLESALE TRANSMISSION RATES SINCE CENTERPOINT ENERGY'S LAST RATE CASE AND THE ADJUSTMENT PURSUANT TO P.U.C. SUBST. R. 25.193(b)(2)(B) 6 Q V*+ C ^ o m }, y ^ I, ^ W F ^ v (/ ) Y Y .''iC s a Z a a a ca o p^ C) c C ^ p? Y q (s m v o C C F w o U 6 y F E E _> Y U V Q y ^ J ? r+ N a r (9 v) vf 69 !9 c1 h w o " o N N cV O^ N O ^^ O b ^.i o m v^ m V o V O ^ m m ^ F O v o e rn rn N r O N^O t^ ^O N 'V-' L E -a u d lr^ + F $ U (9 69 ico `• Uf F F >y E Fy U^^ ^ O a 9 a f9 N o E a oF E E w '((j U N N F Y ^ C o o ^D w N mN t^ m v) v) W V' ^^ 1^ O fA (A ^o < o c ^D ^ vi us 7^ r r ^ ^ vi V^O w O" N O^° o cv vi u9 c. b C C ^0" c nv - U W p Q Yi Vf f9 N N (9 Ni Y> fA f9 65 59 f9 N N N N N o; n? N d N N rn o^ u^aa°^M c^. _ _ _ ^ m Y) f9 O O 3 3 0. 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The charges derived herein, pursuant to Substantive Rule §25.193, are necessitated by a change in a transmission service provider's wholesale transmission rate subsequent to Commission approval of the Company's base rate charge for transmission service. MONTHLY RATE The REP, on behalf of the Retail Customer, will be assessed this transmission service charge adjustment based on the monthly per unit cost (TCRF) multiplied times the Retail Customer's appropriate monthly billing determinant (kWh, 4 CP kVA or NCP kVA). The TCRF shall be calculated for each rate according to the following formula: TCRF = {[ATWTRI * NL) - (BWTR; * NL,) *1/2* ALLOC} +ADJ BD Where: TCRF = Transmission Cost Recovery Factor in dollars per kWh, dollars per 4 CP kVA or dollars per NCP kVA to be used for billing for each listed rate schedule. The rate schedules are listed under "BD" below. NWTR; = The new wholesale transmission rate of a TSP approved by the Commission by order or pursuant to Commission rules, since the DSP's last rate case; BWTR; = The base wholesale transmission rate of the TSP represented in the NWTR;, used to develop the retail transmission charges of the Company, in the Company's last rate case. NL; The Company's individual 4CP load component of the total ERCOT 4CP load information used to develop the NWTR;; = Revision Number: 27th Effective: 9/1/14 ^ 13 Chapter 6: Company Specific Items ATTACHMENT B Sheet No. 6.13 Page 2 of 3 CenterPoint Energy Houston Electric, LLC Applicable: Entire Service Area ALLOC = CNP 8027 The class allocator approved by the Commission to allocate the transmission revenue requirement among classes in the Company's last rate case, unless otherwise ordered by the Commission; The Allocation Factor for each listed rate schedule is as follows: Residential Service Secondary Service Less Than or Equal to 10 kVA Secondary Service Greater Than 10 kVA Primary Service Transmission Service Street Lighting Service Miscellaneous Lighting Service 6 ADJ I ^EX pl = 47.1426% 1.1481% 35.8682% 3.6249% 12.2162% 0.00% 0.00% P -(REV P -ADJPIP -ADJP2P ) J Where: ADJ = Adjustment of the rate class TCRF; EXPp = Transmission expenses not included in base rates for period p; REVp = TCRF revenue for period p; ADJP 1= 1/6th of ADJ calculated in the previous TCRF update for the periods 5 and 6; ADJP2 = 1/6th of ADJ calculated in the second previous TCRF update for the periods 1 through 4. BD = Each class' billing determinant (kWh, 4 CP kVA, or NCP kVA) for the prior March to August six month period for the March update and prior September to February six month period for the September update. Revision Number: 27th Effective: 9/1/14 ^ T 14 ATTACHMENT B Sheet No. 6.13 Page 3 of 3 Chapter 6: Company Specific Items CenterPoint Energy Houston Electric, LLC Applicable: Entire Service Area CNP 8027 TCRF EFFECTIVE FOR SCHEDULED METER READ DATES ON AND AFTER SEPTEMBER 1, 2014 Residential Service Secondary Service Less Than or Equal to 10 kVA Secondary Service Greater Than 10 kVA IDR Non-IDR Primary Service IDR Non-IDR Transmission Service Lighting Services Street Lighting Service Miscellaneous Lighting Service TCRF Rate Billing Units $ 0.006704 per kWh $ 0.004867 per kWh $ 1.929835 $ 1.101799 per 4 CP kVA per NCP kVA $ 1.763322 $ 1.255494 $ 1.964475 per 4 CP kVA per NCP kVA per 4 CP kVA $ $ - per kWh per kWh NOTICE This rate schedule is subject to the Company's Tariff and Applicable Legal Authorities. Revision Number: 27th Effective: 9/1/14 15 T ATTACHMENT C PROPOSED NOTICE TO RETAIL ELECTRIC PROVIDERS 16 ATTACHMENT C NOTICE TO RETAIL ELECTRIC PROVIDERS CONCERNING CHANGES TO TRANSMISSION COST RECOVERY FACTOR FOR CENTERPOINT ENERGY HOUSTON ELECTRIC, LLC Pursuant to P.U.C Subst. R. 25.193(b), CenterPoint Energy Houston Electric, LLC ("CenterPoint Energy") has included within its tariff a TCRF clause (Rider TCRFTransmission Cost Recovery Factor, Sheet No. 6.13) that authorizes CenterPoint Energy to charge or credit its customers for the cost of wholesale transmission cost changes approved or allowed by the Public Utility Commission of Texas ("the Commission") to the extent that such costs vary from the transmission service cost utilized to establish CenterPoint Energy's delivery rates. CenterPoint Energy has filed a proposed change to its TCRF. The proposed TCRF incorporates new wholesale transmission rate changes and the adjustment. It has a proposed effective date of September 1, 2014. The TCRF charges are cumulative in that the charges also reflect the increases in wholesale transmission rates included in CenterPoint Energy's TCRF charges in Docket No. 38339. to The Public Utility Commission of Texas has established Docket No. consider CenterPoint Energy's petition. Persons wishing more information about this filing should contact Ms. Laurie Burridge-Kowalik at CenterPoint Energy at 713-2077245. Persons who wish to intervene in or comment upon this proceeding should notify the Public Utility Commission of Texas as soon as possible, as an intervention deadline will be imposed. A request to intervene or for further information should be mailed to the Public Utility Commission of Texas, P. O. Box 13326, Austin, Texas 78711-3326. Further information may also be obtained by calling the Public Utility Commission at 512-936-7120 or 888-782-8477. Hearing and speech-impaired individuals with text telephones (TTY) may contact the PUC at 512-936-7136. 17 ATTACHMENT D WORKPAPERS 18 ^p co cn M I- 10 O lCD W) 1) In I^ O ^--^ ^ t/1 m M m O ^O OO CD N N N R a\ r <+y ^D O co ^ 00 N ^ N N N O, O Vi O O E• O N NM^ 7 c) 7 ^O cn ao cn ao V rn rn rq ^ M ^ r N ^O y W O o r' rn O V1 10 vi ^fi ^o Nv) O O rn lO v) O oo '+ rn N N O U N lo 00 l- M V^ .--^ q ct fi-' 7 N O, W l0 O O^ M [^ rn M l^ N vl V^ ^ ao O t+^ oo N w) f^ --^ N O[^ I^^--^ O^O ^O lU I/1 v1 ^/1 c1l N la0 C) O o0 • ^D h V1 00 ^ '^t M N ^ v1 N M O U M ^O UN [- r7 O --^ OO ^o V1 W o0 cl% O.- ^noo rnn M N Oi M CO ^ Vi oo ^ [^ ^ ^O N hr- t+1 ^ h O Z N Ntn co ^ b O O oi Ooo 00 ^ ~ b Co M 00 U v) ^n N N ^o (i ^ r. 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J C O E < cc) U ^ Q U cu U fU d m N J C J * N E L a) 7 C . l) a) ^ lo G ° 5' ^ ^ N y ^ p c U ^ o ^ a C f6 LL LL ° -°U U^ QF U yw _ U mm ! w m F- UU U NMV u) N x ^ X M U N N `r a^ v v o ^ .^ C C 7 3 A U7 O> N > ^ •-• cD ` 4) 0 oo > > v LL 7 U^ ^ vi a) >> J QI Q .2 > ^ 4) U U ' LM, ^ o LL Z on az EE o 0 co 0 m ^ o c O cu a a) cn (0 IN cu j d ^ °7 ^ y = O N a a v N w; oo v < c 0 W O) ¢Q IO '6 f6 'O > ai d ui d EiEm 0 o r c0 (D CIX > N FN F CL LL o o ' ¢¢ o0 Q¢ IL CL CL o o z z ¢U¢U N ^ U CL CE^ (O P. -^ U v) lo- 27 cn ^ aD a> U f4 Q N O > > cd cd O N Q (Yi U N ~ kn cov 0 ^. O 0 C.) (n 0 O ^ ^ .-. U .,..^ 0 C.) o ^ a) -N ^ -• ,^ O r^ O N U) p N W N U U U Q U > O «S cd ^_ A, U s. N ^C a) y O ¢ ++ p ^ c^d N U C2' a"' N V) a) O • y^ C' s 00 ^ O CD O^ cd U O kc) '' 00 c+^ d ^ 00 El N 0 brzA t-^ N rn 71 O U •^ O ^ S^ y 0 U ¢ (1) U) 0 cn Cd bA rn o s, 0 U LL ^ M p O O rM-. O N C/3 cu c ^ 4-4 o O 'd ^ cr N (D ^ () > LL O O U S^, J ;± 0 +^ c0 CF > .^ •^ 4^ U 4N .^ - Q >1 U U 4S U 0 o t-- s, 4^ a) a) .+4 ::1 is 0 .. 0 G N N N 40, `2 C) . M cm W^ +^ (n ° (D o o U U_ U 14;1 0 ^ 0 N • V) ^ O D U U N y 4-r W N W W N ^ V^ y ^ a ^ ^ U d) ^ • ^ U U U Z W ^ 7 w U^ in ^ b t- °0m^ ^ 00 ON 28 CERTIFICATE OF SERVICE I certify that a true and correct copy of the foregoing document was served on the Commission Staff, the Office of Public Utility Counsel, and the authorized representatives of all certified REPs listed on the Commission's web site by hand delivery, overnight delivery, or United States first class mail on this 30th day of May, 2014. 29
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