XEL » Topics » SPS

This excerpt taken from the XEL 8-K filed Oct 29, 2009.
SPS Earnings at SPS increased by three cents per share for the third quarter and by eight cents per share for the nine months ending Sept. 30, 2009.  The increase was primarily due to electric rate increases in Texas (effective in February 2009) and New Mexico (effective in July 2009) and the 2008 resolution of certain fuel cost allocation issues, which were partially offset by higher purchased capacity costs.

 

This excerpt taken from the XEL 10-Q filed Apr 30, 2009.

SPS

 

Texas Energy Efficiency Cost Recovery Factor (EECRF) Rider PUCT regulations established the mechanism under which electric utilities may recover costs associated with providing energy efficiency programs.  That mechanism, an EECRF Rider, must be included in a utility’s tariff and may be established in a utility’s base rate case or through a separate request seeking to establish an EECRF.  In accordance with this rule, SPS has removed its energy efficiency costs from its recent base rate proceeding, and has requested implementation of its EECRF Rider to recover the remaining unamortized balance of historic costs and its projected 2008 and 2009 energy efficiency costs.  In September 2008, the PUCT concluded that the rule under which the application was filed does not apply to SPS and the energy efficiency costs could be recovered in the pending Texas retail base rate case.   SPS filed supplemental testimony in the currently pending Texas retail base rate case seeking cost recovery.  As part of the joint stipulation filed by the parties in the currently pending Texas retail base rate case, the parties asked the ALJs to certify a question to the PUCT asking whether SPS could recover or return amounts spent above or below the base rate amount, and if so, what mechanism could be used to recover or refund those amounts.  Parties filed briefs addressing the issue on March 19, 2009.  At its March 27, 2009 open meeting, the PUCT determined that SPS is allowed to accrue the additional energy efficiency expenditures as a regulatory asset for recovery in its next general rate case.

 

Texas Renewable Energy Zone

This excerpt taken from the XEL 10-K filed Feb 23, 2007.

SPS

10.56*

 

Coal Supply Agreement (Harrington Station) between Southwestern Public Service Co. and TUCO, dated May 1, 1979 (Form 8-K (file no. 001-03789), May 14, 1979 — Exhibit 3).

10.57*

 

Master Coal Service Agreement between Swindell-Dressler Energy Supply Co. and TUCO, dated July 1, 1978 (Form 8-K, (file no. 001-03789) May 14, 1979 — Exhibit 5(A)).

10.58*

 

Guaranty of Master Coal Service Agreement between Swindell-Dressler Energy Supply Co. and TUCO (Form 8-K, (file no. 3789) May 14, 1979 — Exhibit 5(B)).

10.59*

 

Coal Supply Agreement (Tolk Station) between Southwestern Public Service Co. and TUCO dated April 30, 1979, as amended Nov. 1, 1979 and Dec. 30, 1981 (Form 10-Q, (file no. 3789) Feb. 28, 1982 — Exhibit 10(b)).

10.60*

 

Master Coal Service Agreement between Wheelabrator Coal Services Co. and TUCO dated Dec. 30, 1981, as amended Nov. 1, 1979 and Dec. 30, 1981 (Form 10-Q, (file no. 3789) Feb. 28, 1982 — Exhibit 10(c)).

10.61*

 

Power Purchase Agreement dated May 23, 1997 between Borger Energy Associates, L.P, and Southwestern Public Service Co.

 

This excerpt taken from the XEL 8-K filed Jun 1, 2006.
S&P’s business profile rating published for SPS. Id. at 35.

 

101.         Mr. Green indicates that two of Mr. Cassidy’s proxy companies have a business profile of 7, two points greater than the S&P risk profile for SPS which is 5.  Id. at 36.  Mr. Green argues that the Commission has relied on a one rating difference in business profile to offset a considerable difference in financial risk, and two of Mr. Cassidy’s proxy companies are two ratings higher than SPS. Id. at 36-37.  Further, Mr. Green indicates that in this case it is not proper to emphasize the Index of Price Stability for several reasons: first, SPS’ rates are at issue not Xcel’s; second, using the Index of Price Stability separately as a risk comparison for gauging risk difference between SPS and a set of proxy companies overstates the risk of Xcel’s regulated business operations.  Id.  at 37.  Mr. Green explains that the overstating occurs because of steep stock price declines

 


(19) 

This excerpt taken from the XEL 10-K filed Feb 27, 2006.

SPS

 

Ratemaking Principles

 

Summary of Regulatory Agencies and Areas of Jurisdiction — The PUCT regulates SPS’ Texas operations as an electric utility and has jurisdiction over its retail rates and services. The municipalities in which SPS operates in Texas have jurisdiction over SPS’ rates in those communities. The NMPRC has jurisdiction over the issuance of securities. The NMPRC, the Oklahoma Corporation Commission and the Kansas Corporation Commission have jurisdiction with respect to retail rates and services and construction of transmission or generation in their respective states.  SPS is subject to the jurisdiction of the FERC with respect to its wholesale electric operations, accounting practices, wholesale sales for resale and the transmission of electricity in interstate commerce.  SPS has received authorization from the FERC to make wholesale electricity sales at market-based prices, however, as discussed previously, SPS has filed to withdraw its market-based rate authority with respect to sales in its own control area.

 

Fuel, Purchased Energy and Conservation Cost Recovery Mechanisms — Fuel and purchased energy costs are recovered in Texas through a fixed fuel and purchased energy recovery factor, which is part of SPS’ retail electric rates.  The Texas retail fuel factors change each November and May based on the projected cost of natural gas.

 

If it appears that SPS will materially over-recover or under-recover these costs, the factor may be revised upon application by SPS or action by the PUCT. The regulations require refunding or surcharging over- or under-recovery amounts, including interest, when they exceed 4 percent of the utility’s annual fuel and purchased energy costs, as allowed by the PUCT, if this condition is expected to continue.

 

PUCT regulations require periodic examination of SPS fuel and purchased energy costs, the efficiency of the use of fuel and purchased energy, fuel acquisition and management policies and purchase energy commitments.  SPS is required to file an application for the PUCT to retrospectively review at least every three years the operations of SPS’ electric generation and fuel management activities.  SPS is scheduled to file for review and reconciliation of its 2004-2005 costs at the end of May 2006.

 

The NMPRC regulations provide for a fuel and purchased power cost adjustment clause for SPS’ New Mexico retail jurisdiction.  SPS files monthly and annual reports of its fuel and purchased power costs with the NMPRC.  The NMPRC authorized SPS to implement a monthly adjustment factor.

 

SPS recovers fuel and purchased energy costs from its wholesale customers through a fuel cost adjustment clause accepted for filing by the FERC.

 

Performance-Based Regulation and Quality of Service Requirements — In Texas, SPS is subject to a quality of service plan requiring SPS to comply with electric service reliability, telephone response and abandoned call performance targets.  If these targets are not met, SPS is required to make refunds to its customers of up to $950,000 per year.  As of Dec. 31, 2005, SPS accrued $800,000 to reflect the expected refund obligation for those measures.

 

This excerpt taken from the XEL 10-K filed Mar 4, 2005.

SPS

 

Ratemaking Principles

 

Summary of Regulatory Agencies and Areas of Jurisdiction — The PUCT has jurisdiction over SPS’ Texas operations as an electric utility and over its retail rates and services. The municipalities in which SPS operates in Texas have original jurisdiction over SPS’ rates in those communities. The NMPRC has jurisdiction over the issuance of securities. The NMPRC, the Oklahoma Corporation Commission and the Kansas Corporation Commission have jurisdiction with respect to retail rates and services and construction of transmission or generation in their respective states.  SPS is subject to the jurisdiction of the FERC with respect to its wholesale electric operations, accounting practices, wholesale sales for resale and the transmission of electricity in interstate commerce.  SPS has received authorization from the FERC to make wholesale electricity sales at market-based prices.

 

Fuel, Purchased Energy and Conservation Cost Recovery Mechanisms — Fuel and purchased energy costs are recovered in Texas through a fixed fuel and purchased energy recovery factor, which is part of SPS’ retail electric rates.  In July 2003, a unanimous settlement was reached providing for the implementation of an expedited procedure for revising the fixed fuel factors on a semi-annual basis.  As a result, the Texas retail fuel factors change each November and May based on the projected cost of natural gas.

 

If it appears that SPS will materially over-recover or under-recover these costs, the factor may be revised upon application by SPS or action by the PUCT. The regulations require refunding or surcharging over- or under-recovery amounts, including interest, when they exceed 4 percent of the utility’s annual fuel and purchased energy costs, as allowed by the PUCT, if this condition is expected to continue.

 

PUCT regulations require periodic examination of SPS fuel and purchased energy costs, the efficiency of the use of such fuel and purchased energy, fuel acquisition and management policies and purchase energy commitments.  Under the PUCT’s regulations, SPS is required to file an application for the PUCT to retrospectively review at least every three years the operations of SPS’ electric

 

26



 

generation and fuel management activities.

 

The NMPRC regulations provide for a fuel and purchased power cost adjustment clause for SPS’ New Mexico retail jurisdiction.  SPS files monthly and annual reports of its fuel and purchased power costs with the NMPRC.  The NMPRC authorized SPS to implement a monthly adjustment factor beginning with the February 2002 billing cycle.  In accordance with the NMPRC regulations, SPS must file its next New Mexico fuel factor continuation case no later than August 2005 for the period from October 2001 through April 2005.

 

SPS recovers fuel and purchased energy costs from its wholesale customers through a fuel cost adjustment clause accepted for filing by the FERC.

 

Performance-Based Regulation and Quality of Service Requirements — In Texas, SPS is subject to a quality of service plan requiring SPS to comply with electric service reliability, telephone response and abandoned call performance targets.  If these targets are not met, SPS is required to make refunds to its customers of up to $950,000 per year.  As of Dec. 31, 2004, SPS accrued  $800,000 to reflect the expected refund obligation for those measures.

 

Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki