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Nonfuel costs used in the calculation of power cost equalization per kilowatt-hour are subject to the following standards:
(1) depreciation rates must be in accordance with the guidelines established by the Rural Electrification Administration that were in effect as of January 1, 1988, or, if different, the standards established by the commission;
(2) depreciation expense is not allowed on plant funded with grants, contributions in aid of construction, or other nonutility money; and
(3) unless the commission authorizes a different method of cost recovery appropriate to the overhaul, costs for major overhauls on equipment must be amortized over an appropriate period approved by the commission.
History: Eff. 10/28/89, Register 112; am 9/11/2004, Register 171
Authority: AS 42.05.141
Publisher's note: The authority line for this section is set out above, pursuant to directions from the Department of Law, in order to make changes necessitated by changes in sec. 28, ch. 18, SLA 1993.
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Last modified 7/05/2006