Discussion
of Issues
Issue 1:
Should the Commission approve DEF's proposed changes
to its LS-1 rate schedule and lighting service contract as shown in Attachment A?
Recommendation:
Yes. The Commission should approve the proposed
changes to DEF’s LS-1 rate schedule and lighting service contract as shown in
Attachment A. The revised tariffs should become effective on May 8, 2018.
(Guffey)
Staff Analysis:
DEF’s proposed revisions to its LS-1 rate schedule (Tariff
Sheet Nos. 6.283 and 6.284) and lighting service contract (Tariff Sheet Nos.
7.110, 7.111, 7.112, and 7.113) are attached. The revisions are discussed
below.
Each fixture shown in the LS-1 tariff indicates the lamp
wattage (i.e., the amount of energy a lamp uses). DEF proposes to add language
to indicate that actual wattages may vary up to five watts from the wattage
shown in the tariff. DEF explained that the newer LED fixtures are more energy efficient
in that they have equivalent lumen output with lower wattages compared to
previous generation LED fixtures. Adding this language allows DEF to purchase
more efficient products without having to update the LS-1 tariff to revise the
wattages.
A lighting customer is required to pay a contribution in aid
of construction (CIAC) when DEF extends its distribution facilities to provide
lighting service. Currently, the CIAC is collected as a one-time payment. As an
alternative to the one-time CIAC payment, DEF is proposing to allow customers
to pay the CIAC amount as a monthly fee added to the bill. The monthly fee
would apply as long as the customer takes service under the LS-1 tariff and is
calculated as a percentage of the CIAC amount. The new language does not
prohibit a customer from paying the total CIAC amount in a single payment.
In addition, DEF proposes tariff modifications to state
that customers must notify the utility before installing customer-owned
receptacles such as holiday lights. The added language helps the utility track
the receptacles to manage electric load and to appropriately bill for energy
consumption.
The proposed tariff is also revised to remove the language
which states that the utility may consider installing and maintaining customer-owned
systems. DEF states that, as a business practice, it will no longer consider
such requests for customer-owned systems. Additionally, new language is
included to clarify the pole replacement process making it consistent with the
process currently used for replacing obsolete lighting fixtures.
The proposed revisions to the lighting service contract
align it with proposed revisions to the LS-1 tariffs discussed above, remove
language that is no longer necessary, and revise the utility’s name to reflect
Duke Energy Florida, LLC.
Staff has reviewed DEF’s petition
and believes the proposed changes to the LS-1 rate schedule and lighting service
contract are reasonable and appropriate. Staff recommends that DEF’s proposed
changes to the LS-1 rate schedule and lighting service contract, as shown in
Attachment A, be approved. The revised tariffs should become effective on May 8,
2018.
Issue 2:
Should this docket be closed?
Recommendation:
If a protest is filed within 21 days of the issuance
of the order, the tariffs should remain in effect, with any revenues held
subject to refund, pending resolution of the protest. If no timely protest is filed, this docket
should be closed upon the issuance of a consummating order. (Crawford)
Staff Analysis:
If a protest is filed within 21 days of the issuance
of the order, the tariffs should remain in effect, with any revenues held
subject to refund, pending resolution of the protests. If no timely protest is filed, this docket
should be closed upon the issuance of a consummating order.
