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HomeMy WebLinkAboutAK Power and Telephone Cost of Service Study 1990H Honchen & Uhlenkortt, Inc. Ure Utility Consultants ALASKA POWER & TELEPHONE COMPANY COST OF SERVICE/ RATE DESIGN STUDY For the Test Year Ended December 31, 1990 a) Public Urility Consultants fe Honchen & Uhlenkortt, Inc. U June 15, 1992 Robert S. Grimm President Alaska Power & Telephone Company 191 Otto Street P.O. Box 222 Port Townsend, WA 98368 Dear Mr. Grimm: We have prepared this cost of service/rate design study to accompany and support the proposed tariff revision to be filed with the Alaska Public Utilities Commission requesting a restructure of the existing electric service rates of Alaska Power & Telephone Company. We have used the results of operation for the year ended December 31, 1990 as the test year. The exhibits and schedules included in the cost of service/rate design study have been prepared in compliance with the applicable Alaska Statutes (Title 42, Public Utilities and Carriers) and the Alaska Administrative Code (Part 5, Alaska Public Utilities Commission Rules of Practice and Procedure - 3 AAC 48.010 - 3 AAC 48.820). The filing specifically responds to the requirements outlined in 3 AAC 48.540 - 3 AAC 48.550. This study was prepared using the historical financial statements of the company audited by Ernst and Young, for the year ended December 31, 1990, and the revenue requirement determinations approved by the Alaska Public Utilities Commission in Order U-91- 70(3). Additionally, we have relied upon information provided by you and your representatives regarding appropriate factors, customer usage levels, overhead allocations and other data which we used in conducting this study. We have, however, thoroughly reviewed and examined the books and records of the company as they relate to preparing a cost of service/rate design study to be submitted to a regulatory commission. We have employed appropriate ratemaking principles and sound utility accounting theory. 800 E.Dimonp Buvp. © Suite 3-640 © ANCHORAGE Ataska 99515 * (907) 522-2130 © Fax 522-2127 Alaska Power & Telephone Company June 15, 1992 Page No. 2 This report was prepared solely for the purpose of the proposed tariff revision to restructure electric service rates and any subsequent public hearings before the Alaska Public Utilities Commission. Because of the complexity of the issues involved and other considerations, distributions of and excerpts from this report must be carefully controlled. Accordingly, we ask that approval be obtained from Honchen & Uhlenkott, Inc. regarding external distribution of any excerpts from the report or references to Honchen & Uhlenkott, Inc. for any purposes other than that expressly provided herein. Very truly yours, Xam VOM larly Loxen V. Uhlenkott HONCHEN & UHLENKOTT, INC. LVU/hsc C:\WP5S1AP&T\TransLtr ALASKA POWER & TELEPHONE COMPANY COST OF SERVICE/RATE DESIGN STUDY For the Test Year Ended December 31, 1990 TABLE OF CONTENTS INTRODUCTION SECTION | Reconciliation of Revenues and Revenue Requirement - Prince of Wales Island Calculation of Revenues Required from Rates - Craig - Hydaburg Reconciliation of Revenues and Revenue Requirements - Skagway Calculation of Revenues Required from Rates - Skagway Reconciliation of Revenues and Revenue Requirements - Tok Calculation of Revenues Required from Rates - Tok SECTION II Calculation of Consolidated Customer Charge Calculation of Customer Charges - Craig - Hydaburg - Skagway - Tok Customer Count by Service Area Schedule wn 10 11 12 13 ALASKA POWER & TELEPHONE COMPANY COST OF SERVICE/RATE DESIGN STUDY For the Test Year Ended December 31, 1990 TABLE OF CONTENT: intin SECTION Ill Calculation of Energy Charge - Prince of Wales Island - Craig - Hydaburg - Skagway - Tok SECTION IV Calculation of THREA Energy Charge Calculation of Generation Revenue Requirement - Craig Calculation of THREA Transmission Cost - Craig Functionalization of Operating Expenses - Craig Functionalization of Depreciation Expense - Craig Calculation of Generation Rate Base - Craig Functionalization of Net Plant - Craig Peak Demand by System (in Megawatts) Analysis of Revenues from Schedule A-2 Customers - Tok Schedule 14 15 16 17 18 19 20 21 22 23 24 25 26 27 ALASKA POWER & TELEPHONE COMPANY COST OF SERVICE/RATE DESIGN STUDY For the Test Year Ended December 31, 1990 TABLE OF CONTENTS ntinued Schedule SECTION V Comparison of Existing and Proposed Tariff Rates - Craig 28 - Hydaburg 29 - Skagway 30 - Tok 31 - Hollis 32 - Klawock Airport 33 Customer Bill Impact Analysis - Craig 34 - Hydaburg 35 - Skagway 36 - Tok 37 - Hollis 38 C:\WP51AP&T\Contents ALASKA POWER & TELEPHONE COMPANY COST OF SERVICE/RATE DESIGN STUDY INTRODUCTION Alaska Power & Telephone Company (AP&T) provides a single class of electric service to the communities of Craig, Hydaburg, Hollis, Klawock Airport, Skagway and Tok. Separate tariff rate schedules are currently maintained for each of these service areas. In addition, AP&T provides wholesale electric service to the Tlingit and Haida Regional Electric Authority (THREA) which it generates out of its Craig service area. In Orders U-91-70 (3) and (4), the Commission accepted a stipulated revenue requirement determination for the Craig, Hydaburg, Skagway and Tok service areas. As part of that stipulation, AP&T agreed to file a cost of service study for those service areas. This study is made in compliance with that stipulated agreement. OBJECTIVES This is the first cost of service/rate design study ever filed by AP&T. The overall objective of this study is to design rates which are fair, just, reasonable, nondiscriminatory and consistent with the regulations of the APUC. Section 3 AAC 48.510(a) of the Commission’s regulations state that the primary objectives for the pricing of electricity are: 1. The cost causer should be the cost payer; 2. The revenue requirement or utility financial need; 3. Equity, which includes the fair-cost of apportionment of revenue from customer classes; Conservation; and, 5: Optimal use, which includes considerations of efficiency. Page 1 In applying the five above-enumerated general objectives to AP&T’s unique circumstances, AP&T management believes that this study should focus on six specific objectives: 1 Elimination of the declining block rate structure in favor of a single energy charge rate; 2 Elimination of the minimum charge provision; Institution of a customer charge; Consolidation of rates for the four existing service areas on Prince of Wales Island (Craig, Hydaburg, Hollis and Klawock Airport); 5. Determination of a reasonable special contract rate for the wholesale power which AP&T provides to THREA; and, 6. Reconsideration of the appropriateness of the bulk rate (Schedule A-2) for existing customers in the Tok service area. COST OF SERVICE METHODOLOGY The general framework for developing the cost of service study was the NARUC electric utility cost allocation manual (1973). However, because AP&T offers only one class of service, it was unnecessary to functionalize and classify costs for allocation to various customer classes. Additionally, sufficient demand data does not exist in any service area to develop reasonable and reliable allocations of demand-related cost to multiple customer classes. Total retail kwh sales in AP&T’s various service areas during the 1990 test year were as follows: Craig 6,939,098 Hydaburg 1,241,070 Hollis 24,021 Skagway 7,525,246 Tok 7,766,847 Page 2 Because of the very small size of the AP&T customer base in each service area, management does not believe it would be prudent or cost effective to attempt to develop and administer multiple classes of service in these service areas. ORGANIZATION OF STUDY This cost of service/rate design study is organized in five sections as follows: Section | Reconciliation of Revenues and Revenue Requirements; and, Summary of Revenue Requirements and Revenues Required from Rates as Determined in Docket U-91-70 for Each Service Area Section II Calculation of Customer Charge Rates Section Ill Calculation of Energy Charge Rates Section IV Calculation of THREA Wholesale Rate; Detail of Peak Demand by Service Area; and, Analysis of Bulk Rate Revenues Section V Comparison of Existing and Proposed Tariff Rates; and, Customer Bill Impact Analysis for Each Service Area RECONCILIATION OF REVENUES AND REVENUE REQUIREMENTS A recap of revenue requirements and revenue required from rates for each service area as approved by the Commission in Docket U-91-70 is contained in Section | of the study. Also contained in that section are reconciliations of the revenues from the proposed rates with the revenue requirements. The reconciliation of revenues and revenue requirements for Craig, Hydaburg and Hollis are consolidated in the proposed Prince of Wales Island service area. Page 3 DEVELOPMENT OF CUSTOMER CHARGE A customer charge rate was developed separately for the service areas of Craig, Hydaburg, Skagway and Tok, using the criteria outlined in 3 AAC 48.540(f)(1). That regulation calls for the development of a customer charge which includes the carrying cost associated with service lines from the transformer to the meter; meters and installation on customer premises; and, meter reading expense, customer installation expense, meter maintenance and customer accounting and billing expense. The carrying cost associated with the service lines, meters and installation on customer premises consists of the return on the net investment associated with those assets, the income tax allocable to that return and the depreciation expense related to that plant. In accordance with the directions given to Bethel Utilities Corporation in Order U-91-10(2), we removed the expense related to uncollectible accounts from customer accounting expense. The Commission specifically ruled in that order that uncollectible expense should not be included as a cost component in the development of a customer charge. Management of AP&T could not discern any appreciable difference between residential and other customers in the components of cost making up the customer charge. Therefore, in maintaining the single customer class concept, we did not attempt to develop different customer classes in determining the customer cost component. Our analysis yields customer charges for each of the service areas as follows: Craig $ 9.63 Hydaburg $ 6.35 Skagway $ 8.69 Tok $10.77 Page 4 We also prepared a calculation of a consolidated customer charge for the four service areas. The result of that calculation is a monthly consolidated customer charge of $9.43. The calculation of the customer charge rates are contained in Section II of the study, on Schedules 8 through 13. The largest component of the customer charge revenue requirement is customer accounting expense. For the most part, this expense is incurred at the corporate headquarters and allocated to each service area. Because the largest component of the customer charge revenue requirement is an allocated amount, the management of AP&T believe, and we concur, that there is merit in proposing a unified customer charge to all service areas of AP&T. This would eliminate any questions. regarding the fairness of allocations of the jointly incurred costs to the various service areas and would result in ease of administration for the utility. Therefore, AP&T is specifically requesting the APUC approve a uniform monthly customer charge rate for all of AP&T’s service areas. AP&T has never imposed a customer charge rate in any of its service areas in its history. Consequently, AP&T management fears that a fully compensatory customer charge rate will result in rate shock for many customers, particularly those using smaller amounts of energy. To minimize any possible rate shock, AP&T requests that the customer charge be set at a somewhat less-than fully compensatory level at this time and that the remaining revenue requirements otherwise attributable to the customer charge be recovered through the energy charge. Specifically, AP&T requests a unified customer charge for all service areas of $5.00 per month. DEVELOPMENT OF ENERGY CHARGE RATES A separate energy charge was developed for each of the service areas included in this study. The rate was developed by dividing the total revenue required from the energy charge by the total test year kwh sold. Page 5 The revenue required from the energy charge was developed by subtracting the total proposed customer charge revenue from the revenue required from rates as approved in Docket U-91-70. In the case of the Craig service area, we also subtracted the proposed increase in revenue from the THREA contract resulting from the proposed increase in the THREA contract rate. In the Tok service area, we also subtracted the test year revenue received from the bulk rate customers (Schedule A-2) in determining the revenue required from the energy charge. The following rates resulted from the energy charge calculations: Craig 15.34¢ Hydaburg 18.95¢ Skagway 15.52¢ Tok 20.54¢ A single rate energy charge was developed for each service area in accordance with the rate design criteria outlined in 3 AAC 48.550(b). This resulted in the elimination of the declining block rate structure which AP&T has in its currently approved tariff. The calculation of the energy charges are contained in Section III of the study, Schedules 14 through 18. CONSOLIDATED PRINCE OF WALES ISLAND SERVICE AREA AP&T currently serves four separate service areas on Prince of Wales Island (Craig, Hydaburg, Hollis and Klawock Airport). Craig, Hydaburg and Hollis each have their own generation facilities. Klawock Airport is served by the generation facilities at Craig. Many of the personnel and much of the equipment is jointly used among these service areas to provide electric service. The vast majority of electric sales on Prince of Wales Island occur in the Craig service area. During the 1990 test year, Craig had retail sales of 6.9 Page 6 million kwh, while Hydaburg had 1.2 million. Electric sales in the Hollis service area were negligible during 1990 and service did not begin in the Klawock Airport service area until 1992. The rates for electric service in these four service areas are vastly different under the current tariff. Hollis and Klawock Airport have extremely high rates due to their very small subscriber bases. The management of AP&T believe that the high rates in Hollis and Klawock Airport stifle any potential commercial development in those areas. Accordingly, AP&T proposes that it would be in the public interest to consolidate the rates of these four service areas thereby promoting commercial development throughout the island and sharing future savings among all rate payers through the economies of scale which can only be realized by operating larger systems. This consolidation effectively increases the energy charge for the Craig service area of .91¢ per kwh, but it reduces the energy charge for Hydaburg by 2.70¢ per kwh, the energy charge for Hollis by 21.10¢ per kwh and the energy charge for the Klawock Airport by __¢ per kwh. These are substantial savings in the Hollis and Klawock Airport areas are achieved without placing an undue burden on existing customers in the Craig service area. THREA WHOLESALE RATE In addition to providing retail electric service, AP&T also provides wholesale electric service to the Tlingit and Haida Regional Electric Authority which is generated from Craig, and delivered to THREA through a transmission facility owned by the Alaska Energy Authority (AEA). AEA leases this transmission facility to AP&T under a twenty year lease agreement whereby AP&T maintains the transmission lines. The THREA wholesale rate was developed by functionalizing all investment, operating expenses and taxes in the Craig service area to determine the generation cost per kwh in that service area. Likewise, the transmission cost for all electricity sold to THREA was Page 7 calculated on a per kwh basis. These cost calculations are detailed in Section IV of the Cost of Service/Rate Design study, Schedules 19 through 24. The result of this analysis is a generation cost in the Craig service area of 10.4¢ per kwh. The transmission cost for electricity being delivered to the THREA distribution system is .6¢ per kwh. The proposed wholesale rate to THREA of 11¢ per kwh is the sum of the generation and transmission cost components. The current THREA rate, as approved in Order U-91-70(3), is 10.16¢ per kwh. The proposed rate of 11¢ per kwh represents a .84¢ increase over the existing rate. The increased revenue which AP&T expects to collect from this proposed wholesale rate is correspondingly reflected as a decrease in the revenue requirement allocated to the retail energy charge in the Craig service area. BULK RATE ANALYSIS AP&T offers an optional "bulk power rate” for its customers in each of its service areas (Rate Schedule A-2). Under this rate schedule, customers are charged a demand rate based on the highest recorded demand in the past 12 months and a reduced energy charge. At the current time, there are only four customers receiving service under this rate schedule. All four of these customers are in the Tok service area. To determine the reasonableness of the existing rates for these four customers, we first determined the percentage of kwh sales to these customers to total kwh sales in the service area. Kwh sales attributable to Schedule A-2 customers accounted for 26.39% of total kwh sales in the Tok service area. Next, we looked at the peak demand of these A-2 customers as a percentage of the system peak demand during February 1990, the Page 8 month of the highest peak demand during the test year. The total combined billed demand of the four A-2 customers was 403.3 kilowatts or 25.53% of the total system peak demand in February 1990. The fact that these customers accounted for 25.53% of the peak demand and 26.39% of the kwh sales for the test year indicates the overall consumption characteristics of these customers are very similar to the consumption characteristics of all the customers in Tok taken as a whole. We also compared the percentage of average demand to peak demand for these four customers, with that of the Tok system as a whole. We found that the four Schedule A-2 customers had an average demand equal to 58.02% of their peak demand and the system, as a whole, had an average demand equal to 56.12% of the peak demand. These comparisons provide further indication that the characteristics of the four bulk rate customers are very similar to the characteristics of all Tok customers taken as a whole. Finally, we compared the total revenues from sales to the Schedule A-2 customers with the revenues AP&T would have received under the Schedule A-1 rates. Total revenues from the Schedule A-2 customers was 4.32% less than the revenues which would have been earned had those same customers been charged under the current Schedule A-1 rates. These calculations are detailed on Schedule 27 in Section IV of the study. Because of the similarities of the load characteristics of the Schedule A-2 customers as compared to the system as a whole, and because of the similarity of the revenues being generated from the bulk rate customers, AP&T is not proposing any change in the Schedule A-2 rates for the Tok service area at this time. Page 9 As previously stated, AP&T does not have any customers using the bulk rate schedule in service areas other than Tok. AP&T is proposing a bulk rate schedule for the proposed consolidated Prince of Wales Island service area. The consolidated rate was developed as an average of the existing bulk rates for the Craig and Hydaburg areas weighted on the total kwh sales in those areas. No change is being proposed for the bulk rate in Skagway. C:\WP51AP&T\Cos-Narr Page 10 aM ALASKA POWER & TELEPHONE COMPANY CONSOLIDATED PRINCE OF WALES ISLAND SERVICE AREA RECONCILIATION OF REVENUES AND REVENUE REQUIREMENT 1990 Test Year Line No. Description Average Test Year Customers 1 - Craig 2 - Hydaburg 3. - Hollis 4 Total Customers 5 Proposed Customer Charge 6 Monthly Customer Charge Revenue 7 Annual Customer Charge Revenue Test Year KWH Sales 8 - Craig 9 - Hydaburg 10. = - Hollis Ai Total KWH Sales 12 Proposed Energy Charge 13 Total Energy Charge Revenue 14 Increased Revenue from THREA Contract 15 Rounding 16 Total Proposed Revenues Revenues Required from Rates (Docket U-91-70) 17_—- Craig 18 - Hydaburg 19 - Hollis 20 TOTAL REVENUE REQUIRED FROM RATES C:\WP51AP&T\ Revenues 626 166 47 839 $5 4,195 6,939,098 1,241,070 154,746 8,334,914 1625 $1,122,837 245,154 57,798 Schedule 1 $ 50,340 1,354,424 20,956 69 $1,425,789 $1,425,789 Schedule 2 ALASKA POWER & TELEPHONE COMPANY CRAIG SERVICE AREA CALCULATION OF REVENUES REQUIRED FROM RATES' 1990 Test Year i Description Amount 1 Return Requirement $ 170,885 2 Operating Expenses 1,016,096 3. Income Taxes 73,086 4 Total Revenue Requirement 1,260,067 5 _ Less: Other Income (30,894) 6 Resale Contributions (106,336) 7 REVENUE REQUIRED FROM RATES $1,122,837 C:\WP51AP&T\Craig-10 1 Per revenue requirements approved in Docket U-91-70. BS ALASKA POWER & TELEPHONE COMPANY HYDABURG SERVICE AREA CALCULATION OF REVENUES REQUIRED FROM RATES' 1990 Test Year Line No. Description 1 Return Requirement 2 Operating Expenses 3 Income Taxes 4 Total Revenue Requirement 5 Less: Other Income 6 REVENUE REQUIRED FROM RATES C:\WP51AP&T\Hyda-10 1 Per revenue requirements approved in Docket U-91-70. Schedule 3 Amount $ 35,512 203,356 15,188 254,056 _(8,902) $245,154 Schedule 4 ALASKA POWER & TELEPHONE COMPANY SKAGWAY SERVICE AREA RECONCILIATION OF REVENUES AND REVENUE REQUIREMENTS 1990 Test Year | Line _No. Description | 1 Average Test Year Customer 537 | 2 Proposed Customer Charge $5 3. Monthly Customer Charge Revenue 2,685 4 Annual Customer Charge Revenue $ 32,220 = 5 Total Test Year KWH Sales 7,525,246 6 Proposed Energy Charge 1552 7 Total Energy Charge Revenue 1,167,918 8 Rounding (126) | 9 TOTAL PROPOSED REVENUES $1,200,012 | 10 TOTAL REVENUE REQUIRED FROM RATES (DOCKET U-91-70) $1,200,012 C:\WP51AP&T\Skag-2 Schedule 5 ALASKA POWER & TELEPHONE COMPANY SKAGWAY SERVICE AREA CALCULATION OF REVENUES REQUIRED FROM RATES' 1990 Test Year Line _No. Description Amount 1 Return Requirement $ 127,488 2 Operating Expenses 1,053,708 3 Income Taxes 54,525 4 Total Revenue Requirement 1,235,721 5 Less: Other Income (35,709) 6 REVENUE REQUIRED FROM RATES $1,200,012 C:\WP51AP&T\Skag-10 1 Per revenue requirements approved in Docket U-91-70. Schedule 6 ALASKA POWER & TELEPHONE COMPANY TOK SERVICE AREA RECONCILIATION OF REVENUES AND REVENUE REQUIREMENTS 1990 Test Year Line No. Description 1 Average Test Year Customer 587 2 Proposed Customer Charge $5 3 Monthly Customer Charge Revenue 2,935 4 Annual Customer Charge Revenue $ 35,220 5 Total Test Year KWH Sales (Excluding Bulk Rate Customers) 5,717,038 6 Proposed Energy Charge -2054 7 Total Energy Charge Revenue (Excluding Bulk Rate Customers) 1,174,280 8 Demand Charges - Bulk Rate Customers 103,832 9 Energy Charge - Bulk Rate Customers 270,780 10 Rounding (101) 11 TOTAL PROPOSED REVENUES $1,584,011 12 TOTAL REVENUE REQUIRED FROM RATES (DOCKET U-91-70) 1,584,014 C:\WP51AP&T\Tok-2 ALASKA POWER & TELEPHONE COMPANY TOK SERVICE AREA CALCULATION OF REVENUES REQUIRED FROM RATES' 1990 Test Year Line No. Description 1 Return Requirement 2 Operating Expenses 3. Income Taxes 4 Total Revenue Requirement 5 Less: Other Income 6 REVENUE REQUIRED FROM RATES C:\WP51AP&T\Tok-10 1 Per revenue requirements approved in Docket U-91-70. Schedule 7 Amount $ 242,308 1,296,935 103.633 1,642,876 (58,865) 1,584,011 ALASKA POWER & TELEPHONE COMPANY CALCULATION OF CONSOLIDATED CUSTOMER CHARGE 1990 Test Year Line No. Description (a) 1 Customer Charge Revenue Requirement 2 Craig 3 Hydaburg 4 Tok 5 Skagway 6 Total Customer Charge Revenue Requirement 7 ~~ Total Customers 8 Craig 9 Hydaburg 10 Tok 1 Skagway 12 Total Customers 13. Annual Customer Charge 14 MONTHLY CUSTOMER CHARGE C:\WP51AP&T\Cust-Chg Schedule 8 Amount (b) $ 72,340 12,650 75,833 56,004 216,827 626 166 587 537 1,916 113.17 9.43 ew Schedule 9 ALASKA POWER & TELEPHONE COMPANY CRAIG SERVICE AREA CALCULATION OF CUSTOMER CHARGES For the Test Year Ended December 31, 1990 Line No. ______ Description ____ (a) (b) (c) (d) Plant in Accumulated 1 RATE BASE Service Depreciation Net Plant 2 Services $53,092 $27,510 $25,582 3 Meters 35,940 13,357 22,583 4 Net Plant in Service 48,165 5 Rate of Return 12.57% 6 Total Return Requirement 6,054 - DEPRECIATION EXPENSE 8 Services 2,655 9 Meters 1,797 10 Total Depreciation Expense 4,452 11. OPERATING EXPENSES 12 Customer Accounting (Excluding Uncollectibles) 57,318 13 Meter Expenses 942 14 Customer Installation Expenses 985 15 Total Operating Expenses 59,245 16 INCOME TAXES 17. Federal and State Income Taxes 2,589 18 Total Revenue Requirement for Customer Charge 72,340 19 Total Customers 626 20 Annual Customer Charge 115.56 21 MONTHLY CUSTOMER CHARGE $ 9.63 C:\WP51AP&T\Craig-1 ALASKA POWER & TELEPHONE COMPANY HYDABURG SERVICE AREA CALCULATION OF CUSTOMER CHARGES For the Test Year Ended December 31, 1990 Line No. Description (a) 1 RATE BASE 2 Services 3 Meters 4 Net Plant in Service 5 Rate of Return 6 Total Return Requirement 7 DEPRECIATION EXPENSE Schedule 10 (b) (c) Plant in Accumulated Service Depreciation $14,519 $ 7,045 14,761 9,231 8 Services 9 Meters 10 Total Depreciation Expense 11. OPERATING EXPENSES 12. Customer Accounting (Excluding Uncollectibles) 13 Meter Expenses 14 Customer Installation Expenses 15 Total Operating Expenses 16 INCOME TAXES 17 Federal and State Income Taxes 18 Total Revenue Requirement for Customer Charge 19 Total Customers 20 Annual Customer Charge 21 MONTHLY CUSTOMER CHARGE C:\WP51AP&T\Hyda-1 (d) Net Plant $ 7,474 5.530 13,004 12.57% 1,635 726 738 1,464 8,603 249 8,852 12,650 166 76.20 $6.35 om ALASKA POWER & TELEPHONE COMPANY SKAGWAY SERVICE AREA CALCULATION OF CUSTOMER CHARGES For the Test Year Ended December 31, 1990 Schedule 11 Line No. Description (a) it RATE BASE 2 Services 3 Meters 4 Net Plant in Service 5 Rate of Return 6 Total Return Requirement 7 DEPRECIATION EXPENSE 8 Services 9 Meters 10 Total Depreciation Expense 11. OPERATING EXPENSES 12 Customer Accounting (Excluding Uncollectibles) 13. Meter Expenses 14 Customer Installation Expenses 15 Total Operating Expenses 16 INCOME TAXES 17 Federal and State Income Taxes 18 Total Revenue Requirement for Customer Charge 19 Total Customers 20 Annual Customer Charge 21 MONTHLY CUSTOMER CHARGE C:\WP51AP&T\Skag-1 Plant in Service $57,660 48,408 (c) Accumulated Depreciation $18,776 19,653 (d) Net Plant $38,884 28,755 67,639 12.57% 8,502 2,420 3,771 35,246 4,238 611 40,095 56,004 —537 104.29 ALASKA POWER & TELEPHONE COMPANY TOK SERVICE AREA CALCULATION OF CUSTOMER CHARGES For the Test Year Ended December 31, 1990 Schedule 12 Line No. Description (a) 1 RATE BASE 2 Services 3 Meters 4 Net Plant in Service 5 Rate of Return 6 Total Return Requirement 7 DEPRECIATION EXPENSE 8 Services 9 Meters 10 Total Depreciation Expense 11. OPERATING EXPENSES 12 Customer Accounting (Excluding Uncollectibles) 13. Meter Expenses 14 Customer Installation Expenses 15 Total Operating Expenses 16 INCOME TAXES 17 Federal and State Income Taxes 18 Total Revenue Requirement for Customer Charge 19 Total Customers 20 Annual Customer Charge 21 MONTHLY CUSTOMER CHARGE C:\WP51AP&T\Tok-1 Plant in Service $88,532 54,762 (c) Accumulated Depreciation $22,691 23,293 (d) Net Plant $65,841 31,469 97,310 12.57% 12,232 4,427 2,738 7,165 47,909 1,374 1,821 51,104 75,833 587 129.19 $10.77 Schedule 13 ALASKA POWER & TELEPHONE COMPANY CUSTOMER COUNT BY SERVICE AREA 1990 Test Year Line _No. Month Craig Hydaburg Skagway Tok 1 January 609 163 501 564 2 February 610 163 499 565 3 March 623 163 503 566 4 April 622 162 523 568 5 May 628 164 552 580 6 June 628 165 553 584 7 July 622 164 553 589 8 August 621 154 544 568 9 September 639 170 571 619 10 October 640 171 583 615 11 November 641 176 535 614 12 December _ 627 Lz) _521 _607 13 TOTALS 7,510 1,988 6,438 7,039 14 AVERAGE 626 166 537 587 C:\WP51AP&T\Cust-No. Schedule 14 ALASKA POWER & TELEPHONE COMPANY CONSOLIDATED PRINCE OF WALES ISLAND SERVICE AREA CALCULATION OF ENERGY CHARGE 1990 Test Year Line No. Description Revenue Required from Energy Charge 1 - Craig $1,064,321 2 - Hydaburg 235,194 3 - Hollis* 54,978 4 Total Energy Charge Revenue Requirement 1,354,493 KWH Sales 5 - Craig 6,939,098 6 - Hydaburg 1,241,070 7 ~~ -Hollis* 154,746 8 Total KWH Sales 8,334,914 9 ENERGY CHARGE - CONSOLIDATED 16.25¢ C:\WP51AP&T\EnrgyChg * No revenue requirement determination was established for the Hollis service area in Docket U-91-70. For purposes of calculating the consolidated rate, we used actual revenues and KWH sales in 1991, the first full year of operation for this service area. mg ALASKA POWER & TELEPHONE COMPANY CRAIG SERVICE AREA CALCULATION OF ENERGY CHARGE 1990 Test Year Line No. Description 1 Revenue Required from Rates (Per Approved Revenue Requirements) 2 Monthly Customer Charge 3 Number of Customers 4 Monthly Customer Charge Revenue 5 Annual Customer Charge Revenue 6 _ Increase in Revenue from THREA Contract 7 Revenue Required from Energy Charge 8 Test Year KWH Sold 9 ENERGY CHARGE C:\WP51AP&T\Craig-5 Schedule 15 $1,122,837 (37,560) (20,956) 1,064,321 6,939,098 15.34¢ Schedule 16 ALASKA POWER & TELEPHONE COMPANY HYDABURG SERVICE AREA CALCULATION OF ENERGY CHARGE 1990 Test Year No. Description t Revenue Requirement from Rates (Per Approved Revenue Requirements) $245,154 2 Monthly Customer Charge a) 3 Number of Customers _ 166 4 Monthly Customer Charge Revenue $830 5 Annual Customer Charge Revenue 960) 6 Revenue Required from Energy Charge 235,194 8 Test Year KWH Sold 1,241,070 9 ENERGY CHARGE 18.95¢ C:\WPS51AP&T\Hyda-5 Schedule 17 ALASKA POWER & TELEPHONE COMPANY SKAGWAY SERVICE AREA CALCULATION OF ENERGY CHARGE 1990 Test Year Line No. Description | 1 Revenue Requirement from Rates (Per Approved Revenue Requirements) $1,200,012 | 2 Monthly Customer Charge $ 5 3 Number of Customers _537 4 Monthly Customer Charge Revenue $2,685 = 5 Annual Customer Charge Revenue (32,220) 6 Revenue Required from Energy Charge 1,167,792 8 Test Year KWH Sold 7,525,246 9 ENERGY CHARGE 15.52¢ C:\WP51AP&T\Skag-5 ALASKA POWER & TELEPHONE COMPANY TOK SERVICE AREA CALCULATION OF ENERGY CHARGE 1990 Test Year | Line No. Description | 1 Revenue Requirement from Rates (Per Approved Revenue Requirements) | 2 Monthly Customer Charge $ 5 3 Number of Customers 587 4 Monthly Customer Charge Revenue $2,935 5 Annual Customer Charge Revenue 6 Revenue from Bulk Rate Customers 7 Revenue Required from Energy Charge 8 Test Year KWH Sold (Non-Bulk Rate Customers) 9 ENERGY CHARGE C:\WPS1AP&T\Tok-5 Schedule 18 $1,584,011 (35,220) (374,612) 1,174,179 5,717,038 20.54 eo Schedule 19 ALASKA POWER & TELEPHONE COMPANY CALCULATION OF THREA ENERGY CHARGE 1990 Test Year Line No. Description Amount 1 Generation Cost - Craig Service Area 10.40¢ 2. Transmission Cost to THREA Distribution System _ .60¢ 3 TOTAL 11.00¢ C:\WP51AP&T\THREACal Schedule 20 ALASKA POWER & TELEPHONE COMPANY CRAIG SERVICE AREA CALCULATION OF GENERATION REVENUE REQUIREMENT 1990 Test Year Line _No. Description 1. Generation Rate Base $814,988 2 Rate of Return 12.57% 3 Return Requirement 4 Generation Operating Expenses 5 Provision for Income Taxes 6 Total Generation Revenue Requirement 7 Total KWH Sales 8 GENERATION REVENUE REQUIREMENT PER KWH SOLD C:\WP51AP&T\Craig-3 $ 102,444 834,950 43,815 981,209 9,433,898 10.40¢ ALASKA POWER & TELEPHONE COMPANY CRAIG SERVICE AREA CALCULATION OF THREA TRANSMISSION COST 1990 Test Year Line No. Description 1 Transmission Facilities Lease Cost Paid to Alaska Energy Authority 2 Maintenance of Transmission Facilities 3 Total Transmission Cost 4 Total KWH Sales to THREA 5 TRANSMISSION COST PER KWH HOUR C:\WP51AP&T\Craig-6 Schedule 21 $14,903 2,494,800 60¢ Schedule 22 ALASKA POWER & TELEPHONE COMPANY CRAIG SERVICE AREA FUNCTIONALIZATION OF OPERATING EXPENSES 1990 Test Year Line No. Description Generation Distribution Total GENERATION 1 Fuel $566,575 $ $ 566,575 2 Diesel Operations 93,145 93,145 3 Maintenance of Plant and Structures" 65,158 5,834 70,992 4 Total Generation 724,878 5,834 730,712 DISTRIBUTION 5 Distribution Line and Meters 31,047 31,047 6 Distribution Maintenance 34,312 34,312 1 Total Distribution 65,359 65,359 CUSTOMER ACCOUNTS 8 Customer Accounts Expense 60,309 60,309 VEHICLES 9 Vehicle Expense 8,142 8,142 GENERAL AND ADMINISTRATIVE EXPENSE 10. General and Admin. Labor and Benefits? 27,414 109,657 137,071 11 Other General and Admin. Expenses? 21,061 18,579 39,640 12 Total General and Admin. Expense 48,475 128,236 176,711 DEPRECIATION 13 Depreciation Expense 61,597 63,136 124,733 14 TOTAL OPERATING EXPENSE $834,950 $331,016 $1,165,966 C:\WPS51AP&T\Craig-4 1 Generation structure jointly used for maintenance of generation and distribution plant. Structure maintenance expenses allocated 50% to distribution function. 2 General and administrative labor and benefits allocated based on management's estimate of proportional use. 3 Other general and administrative expenses allocated on ratio of total direct expense exclusive of fuel and depreciation expenses. wa Plant Acct 340 341 342 345 362 369 370 373 390 391 392 394 397 398 399 ALASKA POWER & TELEPHONE COMPANY CRAIG SERVICE AREA FUNCTIONALIZATION OF DEPRECIATION EXPENSE Description Land Structure and Improvement Full Holders Generators Switch Gear Other Power Plant Equipment Poles Conductors Transformers Services Meters Street Lights Land Structure and Improvements Computer Equipment Transportation Equipment Tools and Shop Equipment Communication Equipment Furniture and Office Equipment Leasehold Improvements TOTAL C:\WP51AP&T\Craig-7 1990 Test Year Generation $ 0 3,517 1,030 49,468 1,226 2,933 o 8&8 o8 ooooo°o Distribution $ 0 3,517 Schedule 23 Total Distribution Expense $ 0 7,034 1,030 49,468 1,226 2,933 7,913 2,925 5,286 2,655 1,797 941 0 4,431 13,192 17,780 2,835 867 2,020 400 $124,733 Schedule 24 ALASKA POWER & TELEPHONE COMPANY CRAIG SERVICE AREA CALCULATION OF GENERATION RATE BASE 1990 Test Year Line No. Description Amount 1 Net Plant in Service - Generation $832,334 2 Materials and Supplies’ 5,899 3 Cash Working Capital? 96,669 4 Deferred Investment Tax, Credits and Deferred Taxes® (119,914) 5 NET GENERATION RATE BASE $814,988 C:\WP51AP&T\Craig-2 1 Based on estimate of materials and supplies maintained for generation plant. 2 Based on 12.5% of cash operating expenses. 3 Based on ratio of generation plant to total plant. Bee Plant Acct No. 340 341 342 344 345 362 364 368 370 373 389 390 391 392 394 397 398 399 ALASKA POWER & TELEPHONE COMPANY CRAIG SERVICE AREA FUNCTIONALIZATION OF NET PLANT 1990 Test Year Description GENERATION PLANT Land Building Fuel Containers Generators Switch Gear Total Generation Plant DISTRIBUTION PLANT Other Equipment Poles Conductors Transformers Services Meters Street Lights Total Distribution GENERAL PLANT Land Structures Computer Equipment Transportation Equipment Tool and Shop Communications Equipment Furniture and Office Leasehold Improvements Total General Plant TOTAL PLANT ALLOCATIONS C:\WP51AP&T\Craig-8 Generation $ 5,045 51,943 11,760 726,233 16,217 811,198 Distribution $ 5,045 51,944 0 0 56,989 49,865 93,928 34,005 92,839 25,582 22,583 6,570 325,372 38,225 60,421 10,004 41,951 7,072 7,798 14,683 3,244 183,398 $565,759 Schedule 25 Total Net Plant $ 10,090 103,887 11,760 726,233 16,217 868,187 49,865 93,928 34,005 92,839 25,582 22,583 6,570 325,372 42,472 67,135 11,116 41,951 14,144 7,798 16,314 —3,604 204,534 $1,398,093 Line _No. Month 1 January 2 February 3 March 4 April 5 May 6 June 7 July 8 August 9 September 10 October 1 November 12 December C:\WP51AP&T\PkDemand ALASKA POWER & TELEPHONE COMPANY PEAK DEMAND BY SYSTEM (IN MEGAWATTS) For the Test Year Ended December 31, 1990 Craig = Hydaburg 1.74 1.84 1.68 1.64 1.49 1.40 1.50 1.44 1.51 1.65 1.91 2.02 -30 30 29 25 25 23 21 can 25 .28 32 Skagway 1.25 1.33 1.28 1.24 1.24 1.38 1.52 1.55 1.56 1.25 1.25 1.40 Schedule 26 —Tok_ 1.54 1.58 1.46 1.37 1.37 1.30 1.32 1.39 1.39 1.30 1.46 1.56 cod ALASKA POWER & TELEPHONE COMPANY Schedule 27 Amount 2,049,809 kwh 7,766,847 kwh 26.39% 403.3 kw 1,580 kwh 25.53% $103,832 270,780 374,612 $391,538 TOK SERVICE AREA ANALYSIS OF REVENUES FROM SCHEDULE A-2 (BULK RATE) CUSTOMERS 1990 Test Year Line No. Description KWH SALES ql Total KWH Sales to Schedule A-2 Customers 2 Total KWH Sales - Tok Service Area 3 PERCENTAGE OF KWH SALES TO SCHEDULE A-2 CUSTOMERS PEAK DEMAND 4 Billed Peak Demand of Schedule A-2 Customers (February 1990) 5 Peak System Demand (February 1990) 6 PERCENTAGE OF DEMAND FROM SCHEDULE A-2 CUSTOMERS PERCENTAGE OF AVERAGE DEMAND TO PEAK DEMAND 7 Average Demand as a Percentage of Peak Demand - Schedule A-2 Customers (2,049,809 kwh/365 days/24 hours/403.3 kw) 8 Average Demand as a Percentage of Peak Demand - Total Service Area (7,766,847 kwh/365 days/24 hours/1,580 kw) REVENUES Revenues from Schedule A-2 Customers 9 - Demand 10 ~=- Energy 11 Total 12 Revenues from Schedule A-2 Customers Calculated with Schedule A-1 Rates 13 PERCENTAGE DIFFERENCE IN REVENUE USING SCHEDULE A-2 C:\WP51AP&T\Tok-3 4.32% ALASKA POWER & TELEPHONE COMPANY CRAIG SERVICE AREA Schedule 28 COMPARISON OF EXISTING AND PROPOSED TARIFF RATES _No. Description 1990 Test Year Current Rate SCHEDULE No. A-1 (694 Customers) Energy Charge (Per kwh) - First 40 kwh - Next 60 kwh - Over 100 kwh on 4 Minimum Charge 5 Customer Charge 6 Cost of Power Adjustment 7 Power Cost Equalization SCHEDULE No. A-2 (0 Customers) 8 Demand Rate (per Kilowatt Year Demand) 9 Energy Rate 10 Customer Charge 11 Cost of Power Adjustment 12 Power Cost Equalization C:\WPS51AP&T\Craig-9 20.72¢ 18.31¢ 15.92¢ $3.65 N/A (0.67¢) 5.65¢ $143.70 12.38¢ N/A (0.67¢) 2.57¢ Proposed Rate 16.25¢ 16.25¢ 16.25¢ N/A $5.00 (0.67¢) 5.66¢ $145.09 12.83¢ $5.00 (0.67¢) 3.66¢ Increase {Decrease) (4.47¢) (2.06¢) .33¢ (01¢) $1.39 45¢ 1.09¢ Percentage Increase {Decrease) (21.57%) (11.25%) 2.07% 0 (0.18%) 97% 3.63% 42.41% COMPARISON OF EXISTING AND PROPOSED TARIFF RATES ALASKA POWER & TELEPHONE COMPANY HYDABURG SERVICE AREA 1990 Test Year Current Proposed Rate Rate 24.38¢ 16.25¢ 21.78¢ 16.25¢ Line No. Description SCHEDULE No. A-1 (194 Customers) Energy Charge (per kwh) 1 - First 40 kwh 2 - Next 60 kwh 3 - Over 100 kwh 4 Minimum Charge 5 Customer Charge 6 Cost of Power Adjustment 7 Power Cost Equalization 19.19¢ 16.25¢ $3.88 N/A N/A $5.00 (0.76¢) — (0.67¢) 7.14¢ 5.66¢ SCHEDULE No. A-2 (0 Customers) 8 Demand Rate (per Kilowatt Year Demand) $152.86 $145.09 9 Energy Rate 10 Customer Charge 1 Cost of Power Adjustment 12 Power Cost Equalization C:\WPS51AP&T\Hyda-9 15.30¢ -12.83¢ N/A $5.00 (0.76¢) ~— (0.67¢) 4.83¢ 3.66¢ Schedule 29 Increase (Decrease) (8.13)¢ (5.53)¢ (2.94)¢ 0.09¢ (1.48¢) $(7.77) (2.47)¢ 0.09¢ (1.17¢) Percentage Increase (Decrease) (33.35%) (25.39%) (15.32%) 11.84% (20.73%) (5.08%) (16.14%) 11.84% (24.22%) A =, On ALASKA POWER & TELEPHONE COMPANY SKAGWAY SERVICE AREA Schedule 30 COMPARISON OF EXISTING AND PROPOSED TARIFF RATES 1990 Test Year Description SCHEDULE No. A-1 (590 Customers) Energy Charge (per kwh) - First 40 kwh - Next 60 kwh - Over 100 kwh Minimum Charge Customer Charge Cost of Power Adjustment Power Cost Equalization SCHEDULE No. A-2 (0 Customers) Demand Rate (per Kilowatt Year Demand) Energy Rate Customer Charge Cost of Power Adjustment Power Cost Equalization C:\WP51AP&T\Skag-9 Current Rate Increase (Decrease) Proposed Rate 25.59¢ 16.26¢ 15.21¢ 15.52¢ 15.52¢ 15.52¢ (10.07¢) (.74¢) $5.00 (3.84¢) —(3.84¢) 2.28¢ 2.28¢ $125.72 $125.72 11.95¢ 11.95¢ $5.00 (3.84¢) (3.84¢) Percentage Increase (Decrease) (39.35%) (4.55%) 2.04% Line fond a 10 1 12 13 ALASKA POWER & TELEPHONE COMPANY TOK SERVICE AREA Schedule 31 COMPARISON OF EXISTING AND PROPOSED TARIFF RATES 1990 Test Year Description SCHEDULE No. A-1 (656 Customers) Energy Charge (per kwh) - First 100 kwh - Next 100 kwh - Next 800 kwh - Over 1,000 kwh Minimum Charge Customer Charge Cost of Power Adjustment Power Cost Equalization SCHEDULE No. A-2 (3 Customers) Demand Rate (per Kilowatt Year Demand) Energy Rate Customer Charge Cost of Power Adjustment Power Cost Equalization C:\WPS1AP&T\Tok-9 Current Rate 26.29¢ 24.83¢ 21.20¢ 19.03¢ $10.90 N/A 0.22¢ 8.28¢ $254.45 13.21¢ N/A 0.22¢ 3.94¢ Proposed Rate 20.54¢ 20.54¢ 20.54¢ 20.54¢ N/A $5.00 0.22¢ 8.28¢ $254.45 13.21¢ $5.00 0.22¢ 3.94¢ Increase (Decrease) (5.75¢) (4.29¢) (.66¢) 1.51¢ Percentage Increase (Decrease) (21.87%) (17.28%) (3.11%) 7.93% Schedule 32 ALASKA POWER & TELEPHONE COMPANY HOLLIS SERVICE AREA COMPARISON OF EXISTING AND PROPOSED TARIFF RATES 1990 Test Year Percentage Line Current Proposed Increase Increase No. Description Rate _Rate_ Decrease! Decrease SCHEDULE No. A-1 (54 Customers) 1 Energy Charge (per kwh) 37.35¢ 16.25¢ (21.10¢) (56.49%) 2 Minimum Charge $20.00 N/A 3 Customer Charge N/A $5.00 4 Cost of Power Adjustment 2.43¢ (0.67¢) (3.10¢) (1.28%) 5 Power Cost Equalization 16.74¢ 5.66¢ (11.08¢) (.665%) SCHEDULE No. A-2 (0 Customers) 6 Demand Rate (per Kilowatt Year Demand) N/A = $145.09 7 Energy Rate N/A 12.83¢ 8 Customer Charge N/A $5.00 9 Cost of Power Adjustment N/A (0.67¢) 10 Power Cost Equalization N/A 3.66¢ C:\WP51AP&T\Hollis-9 Schedule 33 ALASKA POWER & TELEPHONE COMPANY KLAWOCK AIRPORT SERVICE AREA COMPARISON OF EXISTING AND PROPOSED TARIFF RATES Line No. Description SCHEDULE No. A-1 1 Energy Charge (per kwh) 2 Minimum Charge 3 Customer Charge 4 Cost of Power Adjustment 5 Power Cost Equalization SCHEDULE No. A-2 6 Demand Rate (per Kilowatt Year Demand) 7 Energy Rate 8 Customer Charge 9 Cost of Power Adjustment 10 Power Cost Equalization C:\WP51AP&T\Klawock9 1990 Test Year Percentage Current Proposed Increase Increase Rate Rate (Decrease) (Decrease) 19.10¢ 16.25¢ (2.85¢) (14.92%) $20.00 N/A N/A $5.00 N/A (.67¢) N/A 5.66¢ N/A $145.09 N/A 12.83¢ N/A $5.00 N/A (.67¢) N/A 3.66¢ Schedule 34 ALASKA POWER & TELEPHONE COMPANY CRAIG SERVICE AREA CUSTOMER BILL IMPACT ANALYSIS’ 1990 Test Year Percentage Line Customer Bill Customer Bill Increase _No. Usage Level Current Rates Proposed Rates? (Decrease) BEFORE POWER COST EQUALIZATION 1 300 KWH $ 49.10 $ 51.74 5.4% 2 500 KWH 79.60 82.90 4.1% 3 750 KWH 117.73 121.85 3.5% 4 1000 KWH 155.85 160.80 3.2% 5 2000 KWH 308.35 316.60 2.7% 6 10000 KWH 1,528.35 1,563.00 2.3% AFTER POWER COST EQUALIZATION 7 300 KWH 32.15 34.76 8.1% 8 500 KWH 51.35 54.60 6.3% 9 750 KWH 75.36 79.40 5.4% 10 1000 KWH 113.48 118.35 4.3% 11 2000 KWH 265.98 274.15 3.1% 12 10000 KWH 1,485.98 1,520.55 2.3% C:\WP51AP&T\Craig-11 1 All amounts reflect the current COPA adjustment. 2 Includes $5.00 customer charge. Line No. Usage Level ALASKA POWER & TELEPHONE COMPANY HYDABURG SERVICE AREA CUSTOMER BILL IMPACT ANALYSIS’ 1990 Test Year Customer Bill Customer Bill Schedule 35 Percentage Increase Current Rates Proposed Rates® (Decrease) BEFORE POWER COST EQUALIZATION 1 300 KWH 2 500 KWH 3 750 KWH 4 1000 KWH 5 2000 KWH 6 10000 KWH $ 58.92 95.78 141.86 187.93 372.23 1,846.63 AFTER POWER COST EQUALIZATION 7 300 KWH 8 500 KWH 9 750 KWH 10 1000 KWH 11 2000 KWH 12 10000 KWH C:\WP51AP&T\Hyda-11 37.50 60.08 88.31 134.38 318.68 1,793.08 1 All amounts reflect the current COPA adjustment. 2 Includes $5.00 customer charge. $ 51.74 82.90 121.85 160.80 316.60 1,563.00 34.76 54.60 79.40 118.35 274.15 1,520.55 (12.2%) (13.4%) (14.1%) (14.4%) (14.9%) (15.4%) (7.3%) (9.1%) (10.1%) (11.9%) (14.0%) (15.2%) Schedule 36 ALASKA POWER & TELEPHONE COMPANY SKAGWAY SERVICE AREA CUSTOMER BILL IMPACT ANALYSIS' 1990 Test Year Percentage Line Customer Bill Customer Bill Increase No. Usage Level Current Rates Proposed Rates* (Decrease) BEFORE POWER COST EQUALIZATION 1 300 KWH $ 38.89 $ 40.04 3.0% 2 500 KWH 61.63 63.40 2.9% 3 750 KWH 90.06 92.60 2.8% 4 1000 KWH 118.48 121.80 2.8% 5 2000 KWH 232.18 238.60 2.8% 6 10000 KWH 1,141.78 1,173.00 2.7% AFTER POWER COST EQUALIZATION 7 300 KWH 32.05 33.20 3.6% 8 500 KWH 50.23 52.00 3.5% 9 750 KWH 72.96 75.50 3.5% 10 1000 KWH 101.38 104.70 3.3% 1 2000 KWH 215.08 221.50 3.0% 12 10000 KWH 1,124.68 1,155.90 2.8% C:\WP51AP&T\Skag-11 1 All amounts reflect the current COPA adjustment. 2 Includes $5.00 customer charge. Schedule 37 ALASKA POWER & TELEPHONE COMPANY TOK SERVICE AREA CUSTOMER BILL IMPACT ANALYSIS" 1990 Test Year Percentage Line Customer Bill Customer Bill Increase No. Usage Level Current Rates Proposed Rates® (Decrease) BEFORE POWER COST EQUALIZATION 1 300 KWH $ 72.98 $ 67.28 (7.8%) 2 500 KWH 115.82 108.80 (6.1%) 3 750 KWH 169.37 160.70 (5.1%) 4 1000 KWH 222.92 212.60 (4.6%) 5 2000 KWH 415.42 420.20 1.2% 6 10000 KWH 1,955.42 2,081.00 6.4% AFTER POWER COST EQUALIZATION a 300 KWH 48.14 42.44 (11.8%) 8 500 KWH 74.42 67.40 (9.4%) 9 750 KWH 107.27 98.60 (8.1%) 10 1000 KWH 160.82 150.50 (6.4%) 1 2000 KWH 353.32 358.10 1.4% 12 10000 KWH 1,893.32 2,018.90 6.6% C:\WPS51AP&T\Tok-11 1 All amounts reflect the current COPA adjustment. 2 Includes $5.00 customer charge. Schedule 38 ALASKA POWER & TELEPHONE COMPANY HOLLIS SERVICE AREA CUSTOMER BILL IMPACT ANALYSIS' 1990 Test Year Percentage Line Customer Bill Customer Bill Increase No. Usage Level Current Rates Proposed Rates? (Decrease) BEFORE POWER COST EQUALIZATION 1 300 KWH $ 119.34 $ 51.74 (56.6%) 2 500 KWH 198.90 82.90 (58.3%) 3 750 KWH 298.35 121.85 (59.2%) 4 1000 KWH 397.80 160.80 (69.6%) 5 2000 KWH 795.60 316.60 (60.2%) 6 10000 KWH 3,978.00 1,563.00 (60.7%) AFTER POWER COST EQUALIZATION 7 300 KWH 69.12 34.76 (49.7%) 8 500 KWH 115.20 54.60 (52.6%) 9 750 KWH 172.80 79.40 (54.0%) 10 1000 KWH 272.25 118.35 (56.5%) 11. 2000 KWH 670.05 274.15 (59.1%) 12 10000 KWH 3,852.45 1,520.55 (60.5%) C:\WP51AP&T\Hollis11 ' All amounts reflect the current COPA adjustment. 2 Includes $5.00 customer charge.