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Title 3 . Commerce, Community, and Economic Development
Chapter 47 . Telecommunications
Section 40. Formulae for determination of regulatory cost charge rates

3 AAC 47.040. Formulae for determination of regulatory cost charge rates

(a) The formula for determining the regulatory cost charge rate as a percentage of adjusted gross regulated operating revenue is

RCC = B - E + X

---------

GR

where, RCC equals the regulatory cost charge rate applicable to adjusted gross regulated operating revenue; B equals the commission's authorized budget for a state fiscal year; E equals the amount expected to be collected from exempt utilities, from other sources in that fiscal year, and the carryover balance of the regulatory cost charge program receipts account appropriated for that fiscal year; X equals an allowance for regulatory cost charges due under this chapter for that fiscal year that the commission or the Department of Revenue is unable to collect; and GR equals the total annual adjusted gross regulated operating revenue of all regulated utilities and pipeline carriers in the preceding calendar or annual reporting year.

(b) For electric utilities,

(1) the formula for determining the regulatory cost charge rate expressed as a charge per kilowatt-hour is

RCC e = RCC x GR

---------

kWh T

where, RCC e equals the regulatory cost charge rate applicable to kilowatt-hours; RCC equals the regulatory cost charge rate applicable to adjusted gross regulated operating revenue determined under (a) of this section; GR e equals the total annual adjusted gross regulated operating revenue of electric utilities in the preceding calendar year; and kWh T equals the total annual kilowatt-hour sales of regulated electric utilities in the preceding calendar year, modified by subtracting wholesale kilowatt-hour sales in that year; (2) that have both wholesale and retail sales, the electric utility cost of power that is deducted from retail sales may not include any portion of the cost of power that was accounted for under wholesale sales.

History: Eff. 10/21/92, Register 124; am 12/1/94, Register 132; am/readopt 12/1/95, Register 136

Authority: AS 42.05.141

AS 42.05.151

AS 42.05.254

AS 42.06.140

AS 42.06.286

Editor's note: Effective 12/1/95 (Register 136) the Alaska Public Utilities Commission readopted and amended the preceding section under AS 42.05 and AS 42.06 as changed by ch. 1, SLA 1995.


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Last modified 7/05/2006