NOTICE OF DEPRECIATION FILING
The REGULATORY COMMISSION OF ALASKA (Commission) gives notice that on November 29, 2016, the Municipality of Anchorage d/b/a Municipal Light and Power (ML&P) filed a depreciation study proposing depreciation rates for the new George M. Sullivan Plant 2A (Plant 2A), a new power generation facility. Docket No. U-16-094 was opened to address this matter.
Depreciation expense is a material cost of business that may be recovered through regulated utility rates. Changes in depreciation expense may lead to changes in the utility rates paid by consumers. No change in consumer rates is proposed by this filing.
ML&P’s approved depreciation rates do not include the new $314 million investment for Plant 2A. The depreciation rates, if approved, would be applied to ML&P’s accounting records as of the date Plant 2A was placed into service on November 7, 2016. An approved depreciation rate will allow ML&P to recover the $314 million investment in future electric rates. Based on estimated plant investment for Plant 2A, the proposed annual depreciation expense for Plant 2A is approximately $7.9 million.
The Commission may approve, deny, or modify, in whole or in part, the depreciation rates proposed by ML&P. The Commission may set conditions on approval. You may obtain more information about the filing from Robert A. Royce, Attorney for ML&P, Kemppel, Huffman & Ellis, P.C., 255 East Fireweed Lane, Suite 200, Anchorage, AK 99503; phone: (907) 277-1604. The complete filing is also available for inspection at the Commission’s office at 701 West 8th Avenue, Suite 300, Anchorage, AK phone (907) 276-6222; or at the Commission’s website at www.rca.alaska.gov by typing Docket No. “U-16-094” in the Find a Matter search box.
To comment on this filing, please file your comments by 5:00 p.m., January 4, 2017, at the Commission’s address given above or via our website at:
https://rca.alaska.gov/RCAWeb/WhatsNew/PublicNoticesComments.aspx.
Please reference Docket No. U-16-094 and include a statement that you’ve filed a copy of your comments with ML&P at its address given above.
Individuals or groups of people with disabilities, who require special accommodations, auxiliary aids or service, or alternative communication formats, please contact Joyce McGowan at (907) 276-6222, toll-free at 1-800-390-2782, or TYY (907) 276-4533 or send a request via electronic mail to rca.mail@alaska.gov by December 28, 2016.
DATED at Anchorage, Alaska, this 5th day of December, 2016.
REGULATORY COMMISSION OF ALASKA
Robert M. Pickett
Chairman