October 13, 2015 Cameron Strasser Application Officer

October 13, 2015
Cameron Strasser
Application Officer
Alberta Utilities Commission
st
400, 425 – 1 Street SW
Calgary, Alberta
T2P 3L8
Dear Mr. Strasser:
Re:
Alberta Electric System Operator
Application for AESO 2015 ISO Tariff Update
Proceeding 20753
The AESO writes further to the AESO’s responses, filed on October 6, 2015, to the Commission’s
1
information requests AESO-AUC-2015SEP22-001 to 004. The AESO also notes the deadline of October
13, 2015 established by the Commission for the submission of comments on the need for further process
2
in this proceeding.
Shortly after filing its responses to the Commission’s information requests, the AESO identified the need
for a minor revision to the 2015 forecast revenue requirement set out in its application for transmission
must-run (TMR) service. Consequently, a minor revision is also required to the updated 2015 voltage
control component for Rate DTS, Demand Transmission Service, and Rate FTS, Fort Nelson Demand
Transmission Service.
Currently, the AESO’s application provides as follows:
-
at Table 2-2 of the application, line item #27, TMR is stated to be zero under Column A;
at Table 3-4 of the application, Voltage Control is stated to be zero;
at Appendix C of the application - 2015 Rates Calculations workbook, Tab “C-1 Rev Req” at line
item #27, TMR is stated to be zero under Column H; and
at Appendix E of the application – 2015 ISO Tariff, at Section 5 of each of Rate DTS and Rate
FTS, the Voltage Control Charge is stated to be $0.00/MWh.
However, a voltage charge of $0/MWh will create an issue for the AESO’s deferral account reconciliation
process. Conscripted TMR costs will be allocated based on rate component revenue. As a result, with a
1
Exhibits 20753-X0019, X0020 and X0021.
2
Exhibit 20753-X0015.
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$0/MWh charge, there would be no revenue balance to allocate costs. To date, there are 2015 actual
conscripted TMR costs.
The AESO is taking the necessary steps to revise its 2015 updated forecast revenue requirement for
TMR to $3.0 million, including by obtaining the necessary approval from the ISO Board, and will be filing a
further submission to address the required minor revisions as soon as possible, and in any event no later
than October 27, 2015.
The AESO apologizes for any inconvenience caused by the above-referenced issue.
Should you have any questions regarding the foregoing please do not hesitate to contact LaRhonda
Papworth, Manager, Tariff Applications, at 403-539-2555 or Tom Sloan, Senior Regulatory Counsel, at
403-539-2602.
Sincerely,
“Original Signed By”
LaRhonda Papworth
Manager, Tariff Applications
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