Current through all regulations passed and filed through September 16, 2024
(A)
By no later than April fifteenth of each compliance year, electric utilities
and electric services companies shall calculate their status relative to the
statutory three per cent cost provision during the most recent compliance year.
Alternatively, an electric utility or electric
services company may file an application with the commission for review of its
cost cap calculation prior to the date required in rule
4901:1-40-05 of the
Administrative Code.
(1) A discretionary three
per cent cost cap is applicable to the renewable energy benchmarks specified in
division (B)(2) of section
4928.64 of the Revised
Code.
(2) An electric utility or
electric services company shall pursue all reasonable compliance options prior
to requesting relief from compliance with the renewable energy resource
requirements based on the three per cent cost cap.
(3) In the case that the commission makes
such a determination that an electric utility's or electric services company's
compliance costs exceed the applicable three per cent cost cap, the electric
utility or electric services company may not be required to fully comply with
the renewable energy benchmarks specified in division (B)(2) of section
4928.64 of the Revised
Code.
(B) The
calculation of the company's status relative to the statutory three per cent
cost provision shall follow the multi-step process as detailed in this rule. If
full compliance with the applicable benchmark would prompt a company to exceed
the three per cent cost provision, the company may seek relief from the
commission for that incremental portion of its compliance obligation.
(1) Determine the compliance baseline in
megawatt-hours for the compliance year consistent with the applicable section
of paragraph (B) of rule
4901:1-40-03 of the
Administrative Code.
(2) Calculate
a reasonably expected dollar per megawatt-hour figure for the compliance year.
(a) For an electric utility, the dollar per
megawatt-hour figure should be a weighted average of the reasonably expected
cost of the SSO supply for delivery during the compliance year, net of
distribution losses.
(b) For
electric service companies, this dollar per megawatt-hour figure should be a
weighted average of the reasonably expected cost of supply for delivery during
the compliance year, net of distribution system losses.
(3) Calculate the total cost by multiplying
the dollar per megawatt-hour figure in paragraph (B)(2) of this rule by the
compliance baseline calculated in paragraph (B)(1) of this rule.
(4) Multiply the total cost in paragraph
(B)(3) of this rule by three per cent.
