MET-ED FILES FOR ENERGY COST RATE DECREASE
MET-ED FILES FOR ENERGY COST RATE DECREASE READING, Pa., Feb. 28 /PRNewswire/ -- Metropolitan Edison Co.
(Met-Ed), filed a request with the Pennsylvania Public Utility Commission (PUC) today for approval of a decrease in its energy cost rate (ECR).
The change will mean a decrease in customer bills, effective April 1. If approved, the ECR will decrease from the current $0.0050 per kilowatt-hour to $0.0035 per kilowatt-hour. The bill of the residential customer using 500 kilowatt-hours of electricity a month will decrease $.75 from $46.61 a month to $45.86, or 1.6 percent. The overall request is for a $15 million decrease in Met-Ed revenue. Gary T. Miner, Met-Ed rates and government affairs director, said, "The decrease is the result of several factors. The first is the excellent performance of Three Mile Island Unit 1 (TMI-1). In July of 1991, TMI-1, with its low-cost fuel, achieved a world record with a continuous run of 479 days. Over the course of the year, despite a seven-week refueling outage, TMI-1 produced a capacity factor of 80 percent. Capacity factor is the amount of power generated compared to operating constantly for an entire year. "Other significant factors in the decrease are lower coal prices and a reduction in the average cost of purchased power. Met-Ed rates for electric service continue to be lower than they were in 1985." Each year, by March 1, electric utilities must file annual ECR adjustment requests with the PUC. The ECR reflects the cost of fuels to generate electricity and the cost of electricity purchased from other companies (including non-utility generators) to meet the customers' energy requirements. Met-Ed earns no profit from the ECR. If actual costs for the year are higher than the estimate, the ECR is increased for the following year to make up the difference without any interest charged. If actual costs for the year are lower than the estimate, the ECR for the following year is decreased to make up the difference plus interest. /delval/ -0- 2/28/92 /CONTACT: Judith D. Botvin, 215-921-6246, or home, 215-929-3217, or Maria F. Frederick, 215-921-6752, or home, 215-779-4760, both of Met-Ed/ CO: Metropolitan Edison Co.; Pennsylvania Public Utility Commission ST: Pennsylvania IN: UTI SU:
CC-MP -- PH013 -- 3689 02/28/92 11:52 EST
|Printer friendly Cite/link Email Feedback|
|Date:||Feb 28, 1992|
|Previous Article:||NATIONSBANK COMPLETES SALE OF 8.05 MILLION SHARES OF COMMON STOCK|
|Next Article:||SNO COUNTRY REPORTS OFFICIAL SKI REPORT FOR MARCH 20, 1992|