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Tariffs

Public Service Commission Orders Big Rivers Electric Corporation and Kenergy Corp. to Provide Additional Information

Strategic Insights

— 1 min read

The Kentucky Public Service Commission has issued an order directing Big Rivers Electric Corporation (BREC) and Kenergy Corp. to file with the Commission an electronic version of specific information related to their Large Industrial Customer Standby Service (LICSS) tariff. The information is due by May 17, 2024, and must be in a searchable and bookmarked portable document format (PDF).

Key Takeaways:

  • The Commission has requested BREC and Kenergy to confirm whether actual LMP (load management price) and real-time LMP are synonymous, and if not, to explain the difference.
  • The Joint Applicants must state whether there are any incentives currently in place for Kimberly-Clark Corporation and Domtar Paper Company to provide advanced notice to BREC of planned maintenance outages, and whether the proposed LICSS tariff includes any such incentives.
  • The Commission has confirmed that capacity clearing a gross cone in all four seasons of the MISO capacity market would essentially wipe away the additional cost of applying the difference between the large industrial tariff and applying BREC's proposed LICSS tariff.
  • BREC and Kenergy must provide calculations and justifications for the contribution to their margins, the impact on member rate stability, and the allocation amongst rural and industrial classes for Domtar's proposed tariff, which is estimated to result in a $2.5 million increase in rates.

Statistics:

  • The Commission ordered the Joint Applicants to file the requested information by May 17, 2024.
  • The proposed LICSS tariff is expected to result in a $2.5 million increase in rates for Domtar.
  • The Joint Applicants must provide calculations and justifications for the contribution to their margins, the impact on member rate stability, and the allocation amongst rural and industrial classes.

Sources:

  • Kentucky Public Service Commission Order in Case No. 2023-00312
  • Commission Staff's Post-Hearing Request for Information to Big Rivers Electric Corporation and Kenergy Corp. (dated May 03, 2024)
  • 807 KAR 5:001, Section 4(10)

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