1 WELCOME Transmission Formula Rate Customer Meeting Annual Update TFR October 26, 2010.
-
Upload
wilfrid-harrell -
Category
Documents
-
view
214 -
download
0
Transcript of 1 WELCOME Transmission Formula Rate Customer Meeting Annual Update TFR October 26, 2010.
2
ProtocolsDefinitions
“Rate Year” is defined as January 1 through December 31 (2011)
“True-Up” is completed on or before June 15 each calendar year. based on historical (actual) data - primarily Form 1 data from 2009
“Annual Update” recalculates the ATRR and Formula Rate for new Rate Year (2011) uses historical data collected during “True-Up” Phase adds in the projected data is calculated and posted on or before October 15 each calendar year.
Transmission Formula Rate
3
ProtocolsTimeline
********************************************************************************************* “Rate Year”: January 1 – December 31, 2011********************************************************************************************* “True Up” Update: June 15, 2010
“True Up” Customer Meeting: June 22, 2010 This date is kick off for Review Period
“True Up” Information Requests Period – 75 days: August 30, 2010
Issues - Westar Energy Response Date: Good faith effort to respond within 10 business days from date of information request.
Additional periods for data review resolutions, per Protocols posted on WR OASIS********************************************************************************************** “Annual Update”: October 15, 2010
“Annual Update” Customer Meeting: October 26, 2010
Potential Repost of Annual Update: November 30, 2010**********************************************************************************************
Transmission Formula Rate
4
ProtocolsOASIS Postings
and Data Requests
OASIS Posting Requirements: Updated Calculation Protocols Accounting Manual and changes Data Request Submission Address
Submission of Data Requests to: Sheila GroppWestar Energy818 Kansas AvenueTopeka, KS [email protected] also cc: [email protected] (new)
Please provide all Data Requests in writing via email or letter.
Transmission Formula Rate
5
Key Data Locations
FERC Form 1 Data - 2009:
FERC.gov(Westar Energy Form 1)
(Kansas Gas & Electric Form 1)
Formula Rate Postings:
Westar Energy Oasishttp://www.oatioasis.com (select WR)
Southwest Power Pool Oasishttp://oatioasis.com (select SWPP)
Transmission Formula Rate
6
Westar Energy’s Oasis SiteLocating Site
http://www.oatioasis.com/
Click on SPP Icon. It’s a hyperlink to SPP Oasis Node that contains SPP Transmission Owners Oasis Sites.
Transmission Formula Rate
7
Westar Energy’s Oasis Site
Locating Site - 2
SPP Transmission Owners Oasis Sites:
Click on Westar Icon. It’s a hyperlink to new Westar Energy Oasis Site.
Transmission Formula Rate
8
Westar Energy’s Oasis Site
Finding Documents
The Annual Update is under this Document Directory.
Click on the file folder icon or name to open.
The sub-folders will appear.
Click on the Oct 15, 2010 Update – Annual Folder.
Any documents for that update will be displayed.
Update Results
Transmission Formula Rate
9
Westar Energy’s Oasis Site
Locating Accounting Manual
Accounting Manual LoginAccounting Data User ID: AFSReaderAccounting Data Password: AFSReader#1
Under the Transmission Formula Rate (TFR) 2011 Rates Folder, is the sub-folder –
“Accounting Information as of 12/31/2009”
Select this folder to see available files.
Under the Accounting Information as of 12/31/2009 Folder are several files.
For the Accounting Manual, click on:
“Accounting Manual as of 12/31/2009”
Transmission Formula Rate
10
SPP Transmission Provider Oasis Sites:
Click on SPP Icon. It’s a hyperlink to Southwest Power Pool Oasis Site.
Southwest Power PoolSelecting SPP Oasis Site Transmission Formula Rate
12
Formula InputsIndex of Template Pages
Tab ID Schedule/Worksheet Designation Description Date to be Posted
Actual Net Rev Req Schedule Actual Net Rev Req Actual net revenue requirements for most recent calendar year June 15
Gross Rev Req Schedule Actual Gross Rev Req Actual gross revenue requirements for most recent calendar year June 15
A-1 Revenue Credit Actual revenue credits June 15
A-2 Actual transmission load WE Revenues June 15
A-3 Actual Retail Adder WE Divisor June 15
A-4 Actual O&M Exclusions (WEN) WE Retail Adder June 15
A-5 Actual Accum Deferred Income Taxes (WEN) WEN O&M Exclusions June 15
A-6 Actual O&M Exclusions (WES) WEN ADIT June 15
A-7 Actual Accum Deferred Income Taxes (WEN) WES O&M Exclusions June 15
A-8 Actual Depreciation Rate Calculation WES ADIT June 15
A-9 Actual Base Plan Funded Projects Depreciation Adjustment June 15
A-10 Actual Wages and Salaries Plant Additions for Upcoming Year June 15
A-11 Actual Incentive Return on Incentive Plant Incentive Plant Additions June 15
A-12 Actual Economic Portfolio Funded Projects Base Plan Funded Additions June 15
TU True-up True-up Adjustment and Interest Calculation Oct 15
BPF BPF Summary Total Actual and Projected BPF projects Oct 15
EPP EPP Summary Total Actual and Projected EPP projects Oct 15
Projected Net Rev Req Projected Net Rev Requirement Projected net revenue requirements for next calendar year Oct 15
Projected Gross Rev Req Projected Gross Rev Req Projected gross revenue requirements for next calendar year Oct 15
P-1 Transmission Plant Projected transmission plant for next calendar year Oct 15
P-2 Exp. & Rev. Credits Projected expenses and revenue credits for next calendar year Oct 15
P-3 Trans. Network Load Projected transmission load for next calendar year Oct 15
P-4 BPF Projects Projected Base Plan Funded Projects Oct 15
P-5 Econ. Projects Projected Economic Portfolio Funded Projects Oct 15
Transmission Formula Rate
13
Formula Components Annual Update
True-Up and Projected Plant
Data Included Historical 2009 financial data
Westar Energy Form 1Kansas Gas & Electric Form 1
FERC Approved Incentive Plant – Actual SPP Projects – Actual True-Up data (FERC Interest, true-up between Projected 2009 and Actual 2009) Projected Construction development
Includes Plant Projected to be in-service in 2011
Template References: Template Form 1 Reference format:
Page, Line, Column Worksheet Reference format:
Worksheet P-1 (with section if applicable) Yellow areas are change areas
References and Clarifications: If you see any references that are not correct or if you have any suggestion, please let me know.
Transmission Formula Rate
15
• 2007 Ice Storm – Amortization schedule will be completed in 2011– Therefore, there will be a zero balance for EOY 2011 (Line 9a)
– Reserve will continue until used in the future. (Line 9b)
Transmission Formula Rate
Projected UpdateGross Proj Rev Reqm
2007 Ice Storm and Reserves
16
Transmission Formula Rate
Projected UpdateGross Proj Rev Reqm
Plant Additions
• The Projected Plant Additions - Compare 2010 vs. 2011
SPP Funded Plant Additions Projected
$92,280,137 $29,061,692
Zonal Additions Projected
$67,999,050 $63,004,308
Projected Transmission Plant Additions
2010
$160,279,187
2011
$92,066,000
17
TU“True-Up” with Interest
June 15, 2010 “True-Up” Update (posted June 15, 2010)
During this update, a comparison of the2009 Projected ATRR and 2009 Actual ATRR was calculated.
The difference was ($16.612,099)
During this update, the interest is applied to the “True-Up”. After the application of FERC Interest, the total “true-up” amount was ($17,822,290).
October 15, 2010 “Annual Projected” Update (posted October 15, 2010)
Transmission Formula Rate
18
Transmission Formula Rate
“True-Up” with InterestNet Projected Revenue
Requirement
The 2009 True-Up with Interest is applied = ($17,822,230).
Net Westar Energy Revenue Requirement is determined = $147,871,037.
19
Transmission Formula Rate
Zonal vs. Regional Net ATRR
True-Up
Net Projected Revenue Requirements
BPF Projects Summary >> T9 Col q = NPRR Line 9
20
• SPP Regional Net ATRR will be allocated by SPP– SPP will allocate this ATRR to the zones according to benefit
and Load Ratio Share– SPP is planning a FERC Filing around November 15, 2010
which will include the new allocations by zone.
• Zonal Net ATRR– This ATRR will allocated at 100% to the Westar Zone
• Total Net ATRR = $147,871,037
Transmission Formula Rate
SPP Attachment HZonal Net ATRR and
SPP Regional Net ATRR
21
Revenue Requirements ComparisonTransmission Formula Rate
2010
Westar Net ATRR
Zonal
$115,503,530
SPP BPF Funding
$19,256,992
2011
Westar Net ATRR
Zonal
$132,056,555
SPP BPF Funding
$16,159,077
~14%
~16%
23
Transmission Formula Rate
SPP Current OATT Attachment H Values
as of June 19, 2010
Cost Estimate
These values can change at any time during a calendar year. Modifications are based on any new Transmission Owner ATRR. SPP files updates with FERC for inclusion in SPP OATT Rates.
24
Transmission Formula Rate
Meeting Questions - Responses Researched
Q1 from Kathy Brinker, NMEC
Q1: Is there a Storm Reserve Limit?A1: There is no limitation.
Q 2 and Q3 from Larry Holloway, KPPQ2: Can Storm Reserve be a negative value? A2: The Transmission Reserve is only a positive value or zero.
Q3: Is Storm Reserve a part of Return? A3: Yes. Storm Reserve is a reduction to Rate Base.
Q4 from Michael Wegner, KCCQ4: Was the 69 kV storm damage in SE Kansas this year a reduction to the Storm Reserve?A4: Yes.