Current Status
The DCPSC
approved a Modified Enhanced Multiyear Rate Plan (Modified EMRP) from Pepco that will gradually increase rates for electrical distribution service in the District of Columbia (
Formal Case No. 1156). The Modified EMRP is executed as a pilot MRP program through the end of CY 2022, equating to an 18-month initial MRP term.
The Modified EMRP includes, among other things:
- A cumulative revenue requirement of $108.6 million representing a 33% reduction in revenue requirements from Pepco’s original $162.0 million MRP proposal;
- An authorized ROE of 9.275%, and overall ROR of 7.17% to recognize the reduction in financial risk and regulatory lag;
- A total package of $11.4 million of Pepco shareholder-funded customer benefits including $7.8 million for residential and streetlight bill offsets, and $3.6 million of CBRCs for residential customers;
- An initiation of a $5 million small commercial customer energy efficiency program, encompassing rebates and loans;
- A set of tracking PIMs focused on the District’s Climate and Clean Energy goals; and
A stay-out provision that prohibits Pepco from filing a new MRP application until at least January 2, 2023, with rates to be effective no earlier than January 1, 2024.
DCPSC Open Meeting - June 4, 2021
Pepco is requesting to increase the existing electric distribution rates in the District of Columbia by $147 million through a multiyear rate plan (MRP) for the years 2020 through 2022. The utility company’s
original proposal from May 30, 2019, would have increased rates by approximately $8.21 in 2020, $3.84 in 2021 and $3.41 in 2022 for a “typical” customer who uses 692 kWh per mon
th through the standard offer service (SOS).
Per
DC Code, the DCPSC can only approve Pepco’s MRP as an alternative form of regulation if the Commission finds that the MRP “protects consumers; ensures the quality, availability, and reliability of Pepco’s electric services; and is in the interest of the public, including shareholders of the electric company.”
The DCPSC held a Virtual Community Hearing in this matter on September 29, 2020.
The DCPSC also held a two-part Virtual Evidentiary Hearing on October 26-27, 2020.