For AEP’s Ohio Power customers, the Phase-In Recovery Rider (PIRR) was recently increased by an average of $0.003211, from $0.004072 to $0.007282 per kWh. (The PIRR for Columbus Southern Power customers of AEP Ohio’s is unchanged at $0.)
Here is a detailed memo from OMA energy consultant, Runnerstone LLC, which includes the projected incremental costs to small, medium, large and extra large power users over the lifetime of the rider increase, estimates from $8K to $8M, depending on usage.
OMA Energy Group applied for rehearing of the PUCO order, stating that “The Commission erred by violating the prohibition against retroactive ratemaking when it authorized AEP Ohio to collect carrying charges at its weighted Average Cost of Capital through the Phase-In Recovery Rider for a past period beginning in September 2012.”
The PUCO has yet to issue an entry on rehearing addressing the retroactive ratemaking concerns raised by OMA Energy Group and other parties. 8/25/2016