This excerpt taken from the ETR 8-K filed May 19, 2005.
SELECT UTILITY RATE PROCEEDINGS
Pending Proceedings/Events as of May 2005
Recent activity: None
Background: No cases pending. Timing of next filing to be based on completion of steam generator and reactor vessel head replacement at ANO Unit 1 and FERC decision in System Agreement
Recent activity: EGSI-TX appealed the Public Utility Commission of Texas (PUCT) October 2004 decision to dismiss the companys rate case filed in August 2004. The company is
pursuing efforts to get legislative support through the passage of a bill that would clarify the end of the rate freeze and allow EGSI-TX to proceed with obtaining rate relief through riders for transition cost and incremental purchased
Background: Beginning in 1999 until June 2004, the company had been preparing for ROA. In a written order issued on July 12, 2004, the PUCT effectively rejected the companys
proposal to advance to ROA and as a result, the company filed a rate case on August 25, 2004 which the PUCT dismissed with its written order issued October 20, 2004. The PUCT did not act on the companys Motion for Rehearing on the Dismissal
which rendered it denied by operation of law.
Recent activity: On March 23, 2005, the LPSC approved a Global Settlement of 12 cases including the 9th earnings review. The settlement terms include $76 million in refunds for EGSI-LA
customers, no change in current rates, and the establishment of a formula rate plan with a 10.65% ROE midpoint and a 75 basis point bandwidth. Earnings outside the bandwidth are allocated 60% to customers and 40% to the company. The first formula
rate plan filing will be made in May 2005 based upon a calendar 2004 test year. For the first year only, prospective rates will be reset to the 10.65% midpoint.
Recent activity: Hearings on the rate case were completed in mid December 2004. At the March 23, 2005 meeting, the LPSC directed the Administrative Law Judge to set a procedural
schedule that would allow for a decision on a possible settlement at the May 18, 2005 meeting. On March 28, ELI and the LPSC Staff filed a joint motion for contested settlement. The settlement includes an $18.3 million rate increase based upon the
following key items: removal of Perryville and pending capacity contracts for separate consideration, life extension accounting for Waterford 3, and an ROE midpoint of 10.25%. The settlement also includes a formula rate plan with an 80 basis point
bandwidth with the first filing based on a 2005 test year. Earnings outside the bandwidth are allocated 60% to customers and 40% to the company. Pursuant to its rights, ELI placed interim rates based on an $18.3 million rate increase into effect on
May bills, subject to refund.
Background: In January 2004, ELI filed with the LPSC an application for a $167 million base rate increase based on an ROE of 11.4%. The requested increase would have been largely
mitigated by fuel savings resulting from the generation supply plan, including the acquisition of the Perryville plant. LPSC Staff initially recommended removal of the generation supply plan resulting in an $11.4 million rate increase with a 9.75%
Recent activity: EMI submitted its 2005 Formula Rate Plans Evaluation Report to the Mississippi Public Service Commission on March 14, 2005. On April 19, 2005, the MPSC approved
a joint stipulation which provides for no change in rates based on a performance adjusted ROE of 10.5%.
Background: In December 2002, the Mississippi Public Service Commission (MPSC) approved a $48.2 million rate increase which allowed an ROE of 11.75%. The MPSC also approved a formula
rate plan which allows the earned return on equity to increase or decrease within a bandwidth without a change in rates. Also, performance incentives can increase or decrease the benchmarked ROE by 100 basis points. If EMI earns above or below the
bandwidth range, rates are adjusted on a prospective basis by 50% of any overage or shortfall to the top or bottom of the bandwidth respectively.
Recent activity: In April 2005, Entergy New Orleans made its annual scheduled formula plan filings with the New Orleans City Council (CCNO). The filings show that a decrease of $0.2
million in electric revenues is warranted and an increase of $3.9 million in gas revenues is warranted. The prescribed period for review by the Councils Advisors and other parties has now commenced, and rate adjustments, if any, could be
implemented as soon as September 2005.
Background: Effective June 2003, the CCNO approved a $30 million rate increase and a 2-year prospective FRP with an ROE mid point of 11.25% and an ROE bandwidth from 10.25% to 12.25%.
In addition, the Electric FRP allows for up to 13.25% ROE based on a Generation Performance-Based Rate plan which provides for sharing of fuel and purchased power savings. On April 30, 2004, ENOI filed its annual electric and gas FRP updates that
resulted in an August settlement approved by the CCNO calling for no rate adjustment for electric or gas service. The company intends to file for an extension of the FRP prior to September 1, 2005. If the FRP is not extended by the CCNO on or before
September 1, the Rate Adjustments in effect based on the December 31, 2004 test year shall continue.
Recent activity: None
Background: ROE approved by July 2001 FERC order. No cases pending.