FOR APPROVAL OF A RATE ADJUSTMENT CLAUSE PURSUANT
TO § 56-585.1 A 5 b OF THE CODE OF VIRGINIA
CASE NO. PUR-2024-00129
On August 23, 2024, Appalachian Power Company (“APCo” or “Company”) filed with the State Corporation Commission
(“Commission”) a petition (“Petition”) pursuant to § 56-585.1 A 5 b of the Code of Virginia (“Code”) for approval of a rate
adjustment clause (“DR-RAC”) to recover costs related to the Company’s peak shaving riders (Rider D.R.S.-RTO Capacity
and Rider D.R.S.). Specifically, APCo requests that the Commission authorize the collection of a Virginia jurisdictional revenue
requirement of $1,424,691. APCo requests that the Commission authorize the revised DR-RAC to go into effect on June 1,
2025, and be collected over a 12-month period through May 31, 2026. APCo represents that the Company’s proposed rates
would increase the monthly bill for a residential customer using 1,000 kilowatt hours by $0.13. Pursuant to Code § 56-585.1,
the Commission must issue a final order regarding the Petition within eight months of filing.
APCo’s requested Virginia jurisdictional revenue requirement of $1,424,691 comprises: (i) $753,752 of uncollected
balances associated with the Company’s DR-RAC as of July 31, 2024; and (ii) $670,939 of projected costs associated with the
customer that is currently on Rider D.R.S.-RTO Capacity from August 1, 2024, through May 31, 2025.
APCo requests the Commission’s approval to defer for future recovery the costs associated with the Company’s Rider
D.R.S.-RTO Capacity and Rider D.R.S. In support of its request, APCo states that Code §§ 56-585.1 A 5 b and 56-585.1 A 7
authorize the deferral of prudently incurred costs of peak-shaving (demand response) programs, and the Company asserts
that the Commission has granted similar requests to defer costs associated with demand response riders.
TAKE NOTICE that the Commission may apportion revenues among customer classes and/or design rates in a manner
differing from that shown in the Petition and supporting documents, and thus may adopt rates that differ from those appearing
in the Company’s Petition and supporting documents.
The Commission entered an Order for Notice and Hearing that, among other things, scheduled a public hearing on
APCo’s Petition. On January 29, 2025, at 10 a.m., the Hearing Examiner assigned will hold the telephonic portion of the
hearing for the purpose of receiving the testimony of public witnesses. On or before January 22, 2025, any person desiring
to offer testimony as a public witness shall provide to the Commission (a) your name, and (b) the telephone number that you
wish the Commission to call during the hearing to receive your testimony. This information may be provided to the Commission
in three ways: (i) by filling out a form on the Commission’s website at scc.virginia.gov/pages/Webcasting; (ii) by completing
and emailing the PDF version of this form to SCCInfo@scc.virginia.gov; or (iii) by calling (804) 371-9141. This public witness
hearing will be webcast at scc.virginia.gov/pages/Webcasting.
On January 29, 2025, at 10 a.m. or at the conclusion of the public witness portion of the hearing, whichever is later, in
the Commission’s second floor courtroom located in the Tyler Building, 1300 East Main Street, Richmond, Virginia 23219, the
Hearing Examiner will convene a hearing to receive testimony and evidence related to the Petition from the Company, any
respondents, and the Commission’s Staff.
To promote administrative efficiency and timely service of filings upon participants, the Commission has directed the
electronic filing of testimony and pleadings, unless they contain confidential information, and has required electronic service
on parties to this proceeding.
Electronic copies of the Petition may be obtained by submitting a written request to counsel for the Company: Noelle
J. Coates, Esquire, American Electric Power Service Corporation, 3 James Center, 1051 East Cary Street, Suite 1100,
Richmond, Virginia 23219, or njcoates@aep.com. Interested persons also may download unofficial copies of the Petition and
other documents filed in this case from the Commission’s website: scc.virginia.gov/pages/Case-Information.
On or before January 22, 2025, any interested person may submit comments on the Petition by following the instructions
found on the Commission’s website: scc.virginia.gov/casecomments/Submit-Public-Comments. Those unable, as a practical
matter, to submit comments electronically may file such comments with the Clerk of the State Corporation Commission, c/o
Document Control Center, P.O. Box 2118, Richmond, Virginia 23218-2118. All comments shall refer to Case No. PUR-2024
00129.
On or before November 8, 2024, any person or entity wishing to participate as a respondent in this proceeding may
do so by filing a notice of participation at scc.virginia.gov/clk/efiling. Those unable, as a practical matter, to file a notice of
participation electronically may file such notice by U.S. mail to the Clerk of the Commission at the address listed above. Such
notice of participation shall include the email addresses of such parties or their counsel. The respondent shall send a copy
of the notice of participation on counsel to the Company. Pursuant to 5 VAC 5-20-80 B, Participation as a respondent, of the
Commission’s Rules of Practice and Procedure (“Rules of Practice”), any notice of participation shall set forth: (i) a precise
statement of the interest of the respondent; (ii) a statement of the specific action sought to the extent then known; and (iii) the
factual and legal basis for the action. Any organization, corporation, or government body participating as a respondent must
be represented by counsel as required by 5 VAC 5-20-30, Counsel, of the Rules of Practice. All filings shall refer to Case No.
PUR-2024-00129.
On or before November 20, 2024, each respondent may file with the Clerk of the Commission, at scc.virginia.gov/
clk/efiling, any testimony and exhibits by which the respondent expects to establish its case. Any respondent unable, as a
practical matter, to file testimony and exhibits electronically may file such by U.S. mail to the Clerk of the Commission at the
address listed above. Each witness’s testimony shall include a summary not to exceed one page. All testimony and exhibits
shall be sent to the Company, Staff, and all other respondents. In all filings, respondents shall comply with the Commission’s
Rules of Practice, as modified herein, including, but not limited to: 5 VAC 5-20-140, Filing and service, and 5 VAC 5-20-240,
Prepared testimony and exhibits. All filings shall refer to Case No. PUR-2024-00129.
Any documents filed in paper form with the Office of the Clerk of the Commission in this docket may use both sides of the
paper. In all other respects, except as modified by the Commission’s Order for Notice and Hearing, all filings shall comply fully
with the requirements of 5 VAC 5-20-150, Copies and format, of the Commission’s Rules of Practice.
The Company’s Petition, the Commission’s Rules of Practice, the Commission’s Order for Notice and Hearing, and other
documents filed in this case may be viewed on the Commission’s website at: scc.virginia.gov/pages/Case-Information.
APPALACHIAN POWER COMPANY
