Notice of Kentucky Power Company

[ General ]
Advertiser: Notice of Kentucky Power Company
Notice of Kentucky Power Company’s Application for Approval of an Amended Environmental Compliance Plan and Recovery of Additional Costs Through Amendment of the Company’s Tariff E.S. PLEASE TAKE NOTICE that Kentucky Power Company will file on or after February 4, 2021 an application with the Public Service Commission of Kentucky seeking approval of its amended environmental compliance plan to add Project 22 to Kentucky Power’s existing environmental compliance plan. Kentucky Power also will seek approval of amendments to its Tariff E.S. (Environmental Surcharge) to reflect the amended plan and to implement a revised environmental surcharge to recover the costs of the amended environmental compliance plan. Kentucky Power’s application has been assigned case number 2021-00004. Project 22 involves the (i) closure of the existing ash ponds; (ii) installation of a new liner system in the existing bottom ash pond; (iii) installation of a chemical treatment system for wastewater streams; and (iv) modification of the bottom ash handling systems, installation of a new ash bunker, and installation of a new biological treatment system with ultrafiltration. Project 22 is required for compliance with the Coal Combustion Residuals Rule and the Steam Electric Effluent Limitation Guidelines Rule. Project 22 is expected to be placed in service in multiple stages. Kentucky Power anticipates Project 22 will be placed in service in its entirety beginning in April 2024. Between the October 2021 billing cycle and the June 2024 billing cycle the Company’s environmental surcharge factor rate will change as construction work in progress (“CWIP”) is added to the Tariff E.S. rate base and as the stages of Project 22 are placed in service. If approved by the Commission, the environmental surcharge factor first will be modified to reflect the amended environmental compliance plan beginning with the October 2021 billing cycle to include in the Tariff E.S. rate base CWIP for Project 22 construction costs (Period 1). The residential environmental surcharge factor rate is estimated to increase from 7.2070% (annualized surcharge factor for period ended December 31, 2020) to 7.4890% for the October 2021 billing cycle to reflect the levelized addition of accrued and current CWIP to the Tariff E.S. rate base. The environmental surcharge factor rate for all other customers is estimated to increase from 11.4702% (annualized surcharge factor for period ended December 31, 2020) to 11.8977% for the October 2021 billing cycle to reflect the addition of accrued and current CWIP to the Tariff E.S. rate base. The annualized dollar amount of this Period 1 increase is estimated to be $647,861 for residential customers as a class and $801,816 for all other customers. The environmental surcharge factor calculation next will be modified to reflect the amended environmental compliance plan beginning with the August 2023 billing cycle to include the May 2023 forecasted in-service date for the dry ash handling system (Period 2). The residential environmental surcharge factor rate is estimated to increase from 7.2070% (annualized surcharge factor for period ended December 31, 2020) to 8.2857% beginning with the August 2023 billing cycle. The environmental surcharge factor rate for all other customers is estimated to increase from 11.4702% (annualized surcharge factor for period ended December 31, 2020) to 13.0969% beginning with the August 2023 billing cycle. The annualized dollar amount of this Period 2 increase is estimated to be $2,499,245 for residential customers as a class and $3,093,159 for all other customers. The environmental surcharge factor calculation also will be modified to reflect the amended environmental compliance plan beginning with the February 2024 billing cycle to include the November 2023 forecasted in-service date for the wastewater ponds (Period 3). The residential environmental surcharge factor rate is estimated to increase from 7.2070% (annualized surcharge factor for period ended December 31, 2020) to 8.5229% beginning with the February 2024 billing cycle. The environmental surcharge factor rate for all other customers is estimated to increase from 11.4702% (annualized surcharge factor for period ended December 31, 2020) to 13.4517% beginning with the February 2024 billing cycle. The annualized dollar amount of this Period 3 increase is estimated to be $3,056,688 for residential customers as a class and $3,783,070 for all other customers. The environmental surcharge factor calculation last will be modified to reflect the amended environmental compliance plan beginning with the July 2024 billing cycle to include the April 2024 forecasted in-service date for the water biological treatment system with ultrafiltration (Period 4). The residential environmental surcharge factor rate is estimated to increase from 7.2070% (annualized surcharge factor for period ended December 31, 2020) to 8.7738% beginning with the July 2024 billing cycle. The environmental surcharge factor rate for all other customers is estimated to increase from 11.4702% (annualized surcharge factor for period ended December 31, 2020) to 13.8257% beginning with the July 2024 billing cycle. The annualized dollar amount of this Period 4 increase is estimated to be $3,649,454 for residential customers as a class and $4,516,699 for all other customers. The impact on the total monthly bill amount beginning in October 2021 for Kentucky Power’s residential customers is estimated to be 0.28% and increasing to 1.58% beginning with the July 2024 billing cycle. The impact on the total monthly bill amount beginning in October 2021 for all non-residential customers is estimated to be 0.30% and increasing to 1.68% beginning with the July 2024 billing cycle. For a residential customer using 1,219 kWh per month, the monthly increase in the customer’s total bill is expected to be $0.40 beginning in October 2021 and increasing to $2.26 beginning in July 2024. Information regarding the effect on customer bills by customer classification for each of Period 1 through Period 4 is presented in the table below: Period 1 Average Average Average Customer Customer Present Change / Customer Usage Demand Average Percent Total Bill Proposed Classification (kWh)* (kW)* Bill* Change Impact Average Bill (1) (2) (3) (4) (5) (6) (7) R.S. 1,219 0 $ 142.92 0.28% $ 0.40 $ 143.32 S.G.S. - T.O.D. 1,445 0 $ 169.50 0.30% $ 0.51 $ 170.00 M.G.S. - T.O.D. 3,391 0 $ 396.91 0.30% $ 1.18 $ 398.09 G.S. 1,523 5 $ 213.34 0.30% $ 0.64 $ 213.98 L.G.S. 57,379 180 $ 6,496.34 0.30% $ 19.39 $ 6,515.73 I.G.S. 2,343,333 4,231 $ 140,288.15 0.30% $ 418.72 $ 140,706.87 M.W. 17,830 27 $ 1,912.39 0.30% $ 5.71 $ 1,918.10 O.L. 79 0 $ 16.65 0.30% $ 0.05 $ 16.70 S.L.** 59 0 $ 11.37 0.30% $ 0.03 $ 11.41 Period 2 Average Average Average Customer Customer Present Change / Customer Usage Demand Average Percent Total Bill Proposed Classification (kWh)* (kW)* Bill* Change Impact Average Bill (1) (2) (3) (4) (5) (6) (7) R.S. 1,219 0 $ 142.92 1.09% $ 1.55 $ 144.47 S.G.S. - T.O.D. 1,445 0 $ 169.50 1.15% $ 1.95 $ 171.45 M.G.S. - T.O.D. 3,391 0 $ 396.91 1.15% $ 4.57 $ 401.48 G.S. 1,523 5 $ 213.34 1.15% $ 2.46 $ 215.80 L.G.S. 57,379 180 $ 6,496.34 1.15% $ 74.80 $ 6,571.14 I.G.S. 2,343,333 4,231 $ 140,288.15 1.15% $ 1,615.30 $ 141,903.45 M.W. 17,830 27 $ 1,912.39 1.15% $ 22.02 $ 1,934.41 O.L. 79 0 $ 16.65 1.15% $ 0.19 $ 16.84 S.L.** 59 0 $ 11.37 1.15% $ 0.13 $ 11.50 Period 3 Average Average Average Customer Customer Present Change / Customer Usage Demand Average Percent Total Bill Proposed Classification (kWh)* (kW)* Bill* Change Impact Average Bill (1) (2) (3) (4) (5) (6) (7) R.S. 1,219 0 $ 142.92 1.33% $ 1.90 $ 144.81 S.G.S. - T.O.D. 1,445 0 $ 169.50 1.41% $ 2.39 $ 171.89 M.G.S. - T.O.D. 3,391 0 $ 396.91 1.41% $ 5.59 $ 402.50 G.S. 1,523 5 $ 213.34 1.41% $ 3.00 $ 216.35 L.G.S. 57,379 180 $ 6,496.34 1.41% $ 91.48 $ 6,587.82 I.G.S. 2,343,333 4,231 $ 140,288.15 1.41% $ 1,975.58 $ 142,263.73 M.W. 17,830 27 $ 1,912.39 1.41% $ 26.93 $ 1,939.32 O.L. 79 0 $ 16.65 1.41% $ 0.23 $ 16.88 S.L.** 59 0 $ 11.37 1.41% $ 0.16 $ 11.53 Period 4 Average Average Average Customer Customer Present Change / Customer Usage Demand Average Percent Total Bill Proposed Classification (kWh)* (kW)* Bill* Change Impact Average Bill (1) (2) (3) (4) (5) (6) (7) R.S. 1,219 0 $ 142.92 1.58% $ 2.26 $ 145.18 S.G.S. - T.O.D. 1,445 0 $ 169.50 1.68% $ 2.85 $ 172.35 M.G.S. - T.O.D. 3,391 0 $ 396.91 1.68% $ 6.67 $ 403.58 G.S. 1,523 5 $ 213.34 1.68% $ 3.59 $ 216.93 L.G.S. 57,379 180 $ 6,496.34 1.68% $ 109.22 $ 6,605.56 I.G.S. 2,343,333 4,231 $ 140,288.15 1.68% $ 2,358.70 $ 142,646.84 M.W. 17,830 27 $ 1,912.39 1.68% $ 32.15 $ 1,944.54 O.L. 79 0 $ 16.65 1.68% $ 0.28 $ 16.93 S.L.** 59 0 $ 11.37 1.68% $ 0.19 $ 11.56 * Based on 12-months ending December 2020 ** Number of lamps, not customers The application described in this notice is proposed by Kentucky Power. The Public Service Commission may issue an order modifying or denying the relief sought in Kentucky Power’s application. Such action may result in an environmental surcharge for customers of Kentucky Power other than the environmental surcharge described in this notice. Upon filing, Kentucky Power’s application, tariff filings, and any related filings will be available for public inspection at Kentucky Power’s offices located at 1645 Winchester Avenue, Ashland, Kentucky 41101 with a phone number of 606-327-2600; 1400 E. Main St., Hazard, KY 41701 with a phone number of 606-436-1322; and 3249 North Mayo Trail, Pikeville, KY 41501 with a phone number of 606-437-3827. Additionally, the application and other related filings will be available for public inspection on the Company’s website: www.kentuckypower.com. The application, tariff filings, testimony, and related filings also will be available for public inspection between the hours of 8:00 a.m. to 4:30 p.m., Monday through Friday, at the Commission’s offices located at 211 Sower Boulevard, Frankfort, Kentucky when the offices of the Commission reopen to the public. The application, tariff filings, testimony, and related filings also may be found on the Commission’s website: http://psc.ky.gov once filed. Written comments on Kentucky Power’s application and the proposed tariff changes may be submitted to the Commission by mail to Public Service Commission, P. O. Box 615, Frankfort, Kentucky 40602-0615 or via the Commission’s website: http:/ /psc.ky.gov. Comments should reference Case No. 2021-00004. Any person, corporation, association, or body politic may submit a timely written request for intervention in this case. The motion shall be submitted to the Public Service Commission, P. O. Box 615, Frankfort, Kentucky 40602-0615, and shall establish the grounds for the request, including the status and interest of the party. If the Commission does not receive a written request for intervention within thirty (30) days of the initial publication of this notice, the Commission may take final action on the application. Notice of Kentucky Power Company’s Application for Approval of an Amended Environmental Compliance Plan and Recovery of Additional Costs Through Amendment of the Company’s Tariff E.S. PLEASE TAKE NOTICE that Kentucky Power Company will file on or after February 4, 2021 an application with the Public Service Commission of Kentucky seeking approval of its amended environmental compliance plan to add Project 22 to Kentucky Power’s existing environmental compliance plan. Kentucky Power also will seek approval of amendments to its Tariff E.S. (Environmental Surcharge) to reflect the amended plan and to implement a revised environmental surcharge to recover the costs of the amended environmental compliance plan. Kentucky Power’s application has been assigned case number 2021-00004. Project 22 involves the (i) closure of the existing ash ponds; (ii) installation of a new liner system in the existing bottom ash pond; (iii) installation of a chemical treatment system for wastewater streams; and (iv) modification of the bottom ash handling systems, installation of a new ash bunker, and installation of a new biological treatment system with ultrafiltration. Project 22 is required for compliance with the Coal Combustion Residuals Rule and the Steam Electric Effluent Limitation Guidelines Rule. Project 22 is expected to be placed in service in multiple stages. Kentucky Power anticipates Project 22 will be placed in service in its entirety beginning in April 2024. Between the October 2021 billing cycle and the June 2024 billing cycle the Company’s environmental surcharge factor rate will change as construction work in progress (“CWIP”) is added to the Tariff E.S. rate base and as the stages of Project 22 are placed in service. If approved by the Commission, the environmental surcharge factor first will be modified to reflect the amended environmental compliance plan beginning with the October 2021 billing cycle to include in the Tariff E.S. rate base CWIP for Project 22 construction costs (Period 1). The residential environmental surcharge factor rate is estimated to increase from 7.2070% (annualized surcharge factor for period ended December 31, 2020) to 7.4890% for the October 2021 billing cycle to reflect the levelized addition of accrued and current CWIP to the Tariff E.S. rate base. The environmental surcharge factor rate for all other customers is estimated to increase from 11.4702% (annualized surcharge factor for period ended December 31, 2020) to 11.8977% for the October 2021 billing cycle to reflect the addition of accrued and current CWIP to the Tariff E.S. rate base. The annualized dollar amount of this Period 1 increase is estimated to be $647,861 for residential customers as a class and $801,816 for all other customers. The environmental surcharge factor calculation next will be modified to reflect the amended environmental compliance plan beginning with the August 2023 billing cycle to include the May 2023 forecasted in-service date for the dry ash handling system (Period 2). The residential environmental surcharge factor rate is estimated to increase from 7.2070% (annualized surcharge factor for period ended December 31, 2020) to 8.2857% beginning with the August 2023 billing cycle. The environmental surcharge factor rate for all other customers is estimated to increase from 11.4702% (annualized surcharge factor for period ended December 31, 2020) to 13.0969% beginning with the August 2023 billing cycle. The annualized dollar amount of this Period 2 increase is estimated to be $2,499,245 for residential customers as a class and $3,093,159 for all other customers. The environmental surcharge factor calculation also will be modified to reflect the amended environmental compliance plan beginning with the February 2024 billing cycle to include the November 2023 forecasted in-service date for the wastewater ponds (Period 3). The residential environmental surcharge factor rate is estimated to increase from 7.2070% (annualized surcharge factor for period ended December 31, 2020) to 8.5229% beginning with the February 2024 billing cycle. The environmental surcharge factor rate for all other customers is estimated to increase from 11.4702% (annualized surcharge factor for period ended December 31, 2020) to 13.4517% beginning with the February 2024 billing cycle. The annualized dollar amount of this Period 3 increase is estimated to be $3,056,688 for residential customers as a class and $3,783,070 for all other customers. The environmental surcharge factor calculation last will be modified to reflect the amended environmental compliance plan beginning with the July 2024 billing cycle to include the April 2024 forecasted in-service date for the water biological treatment system with ultrafiltration (Period 4). The residential environmental surcharge factor rate is estimated to increase from 7.2070% (annualized surcharge factor for period ended December 31, 2020) to 8.7738% beginning with the July 2024 billing cycle. The environmental surcharge factor rate for all other customers is estimated to increase from 11.4702% (annualized surcharge factor for period ended December 31, 2020) to 13.8257% beginning with the July 2024 billing cycle. The annualized dollar amount of this Period 4 increase is estimated to be $3,649,454 for residential customers as a class and $4,516,699 for all other customers. The impact on the total monthly bill amount beginning in October 2021 for Kentucky Power’s residential customers is estimated to be 0.28% and increasing to 1.58% beginning with the July 2024 billing cycle. The impact on the total monthly bill amount beginning in October 2021 for all non-residential customers is estimated to be 0.30% and increasing to 1.68% beginning with the July 2024 billing cycle. For a residential customer using 1,219 kWh per month, the monthly increase in the customer’s total bill is expected to be $0.40 beginning in October 2021 and increasing to $2.26 beginning in July 2024. Information regarding the effect on customer bills by customer classification for each of Period 1 through Period 4 is presented in the table below: Period 1 Average Average Average Customer Customer Present Change / Customer Usage Demand Average Percent Total Bill Proposed Classification (kWh)* (kW)* Bill* Change Impact Average Bill (1) (2) (3) (4) (5) (6) (7) R.S. 1,219 0 $ 142.92 0.28% $ 0.40 $ 143.32 S.G.S. - T.O.D. 1,445 0 $ 169.50 0.30% $ 0.51 $ 170.00 M.G.S. - T.O.D. 3,391 0 $ 396.91 0.30% $ 1.18 $ 398.09 G.S. 1,523 5 $ 213.34 0.30% $ 0.64 $ 213.98 L.G.S. 57,379 180 $ 6,496.34 0.30% $ 19.39 $ 6,515.73 I.G.S. 2,343,333 4,231 $ 140,288.15 0.30% $ 418.72 $ 140,706.87 M.W. 17,830 27 $ 1,912.39 0.30% $ 5.71 $ 1,918.10 O.L. 79 0 $ 16.65 0.30% $ 0.05 $ 16.70 S.L.** 59 0 $ 11.37 0.30% $ 0.03 $ 11.41 Period 2 Average Average Average Customer Customer Present Change / Customer Usage Demand Average Percent Total Bill Proposed Classification (kWh)* (kW)* Bill* Change Impact Average Bill (1) (2) (3) (4) (5) (6) (7) R.S. 1,219 0 $ 142.92 1.09% $ 1.55 $ 144.47 S.G.S. - T.O.D. 1,445 0 $ 169.50 1.15% $ 1.95 $ 171.45 M.G.S. - T.O.D. 3,391 0 $ 396.91 1.15% $ 4.57 $ 401.48 G.S. 1,523 5 $ 213.34 1.15% $ 2.46 $ 215.80 L.G.S. 57,379 180 $ 6,496.34 1.15% $ 74.80 $ 6,571.14 I.G.S. 2,343,333 4,231 $ 140,288.15 1.15% $ 1,615.30 $ 141,903.45 M.W. 17,830 27 $ 1,912.39 1.15% $ 22.02 $ 1,934.41 O.L. 79 0 $ 16.65 1.15% $ 0.19 $ 16.84 S.L.** 59 0 $ 11.37 1.15% $ 0.13 $ 11.50 Period 3 Average Average Average Customer Customer Present Change / Customer Usage Demand Average Percent Total Bill Proposed Classification (kWh)* (kW)* Bill* Change Impact Average Bill (1) (2) (3) (4) (5) (6) (7) R.S. 1,219 0 $ 142.92 1.33% $ 1.90 $ 144.81 S.G.S. - T.O.D. 1,445 0 $ 169.50 1.41% $ 2.39 $ 171.89 M.G.S. - T.O.D. 3,391 0 $ 396.91 1.41% $ 5.59 $ 402.50 G.S. 1,523 5 $ 213.34 1.41% $ 3.00 $ 216.35 L.G.S. 57,379 180 $ 6,496.34 1.41% $ 91.48 $ 6,587.82 I.G.S. 2,343,333 4,231 $ 140,288.15 1.41% $ 1,975.58 $ 142,263.73 M.W. 17,830 27 $ 1,912.39 1.41% $ 26.93 $ 1,939.32 O.L. 79 0 $ 16.65 1.41% $ 0.23 $ 16.88 S.L.** 59 0 $ 11.37 1.41% $ 0.16 $ 11.53 Period 4 Average Average Average Customer Customer Present Change / Customer Usage Demand Average Percent Total Bill Proposed Classification (kWh)* (kW)* Bill* Change Impact Average Bill (1) (2) (3) (4) (5) (6) (7) R.S. 1,219 0 $ 142.92 1.58% $ 2.26 $ 145.18 S.G.S. - T.O.D. 1,445 0 $ 169.50 1.68% $ 2.85 $ 172.35 M.G.S. - T.O.D. 3,391 0 $ 396.91 1.68% $ 6.67 $ 403.58 G.S. 1,523 5 $ 213.34 1.68% $ 3.59 $ 216.93 L.G.S. 57,379 180 $ 6,496.34 1.68% $ 109.22 $ 6,605.56 I.G.S. 2,343,333 4,231 $ 140,288.15 1.68% $ 2,358.70 $ 142,646.84 M.W. 17,830 27 $ 1,912.39 1.68% $ 32.15 $ 1,944.54 O.L. 79 0 $ 16.65 1.68% $ 0.28 $ 16.93 S.L.** 59 0 $ 11.37 1.68% $ 0.19 $ 11.56 * Based on 12-months ending December 2020 ** Number of lamps, not customers The application described in this notice is proposed by Kentucky Power. The Public Service Commission may issue an order modifying or denying the relief sought in Kentucky Power’s application. Such action may result in an environmental surcharge for customers of Kentucky Power other than the environmental surcharge described in this notice. Upon filing, Kentucky Power’s application, tariff filings, and any related filings will be available for public inspection at Kentucky Power’s offices located at 1645 Winchester Avenue, Ashland, Kentucky 41101 with a phone number of 606-327-2600; 1400 E. Main St., Hazard, KY 41701 with a phone number of 606-436-1322; and 3249 North Mayo Trail, Pikeville, KY 41501 with a phone number of 606-437-3827. Additionally, the application and other related filings will be available for public inspection on the Company’s website: www.kentuckypower.com. The application, tariff filings, testimony, and related filings also will be available for public inspection between the hours of 8:00 a.m. to 4:30 p.m., Monday through Friday, at the Commission’s offices located at 211 Sower Boulevard, Frankfort, Kentucky when the offices of the Commission reopen to the public. The application, tariff filings, testimony, and related filings also may be found on the Commission’s website: http://psc.ky.gov once filed. Written comments on Kentucky Power’s application and the proposed tariff changes may be submitted to the Commission by mail to Public Service Commission, P. O. Box 615, Frankfort, Kentucky 40602-0615 or via the Commission’s website: http:/ /psc.ky.gov. Comments should reference Case No. 2021-00004. Any person, corporation, association, or body politic may submit a timely written request for intervention in this case. The motion shall be submitted to the Public Service Commission, P. O. Box 615, Frankfort, Kentucky 40602-0615, and shall establish the grounds for the request, including the status and interest of the party. If the Commission does not receive a written request for intervention within thirty (30) days of the initial publication of this notice, the Commission may take final action on the application. Notice of Kentucky Power Company’s Application for Approval of an Amended Environmental Compliance Plan and Recovery of Additional Costs Through Amendment of the Company’s Tariff E.S. PLEASE TAKE NOTICE that Kentucky Power Company will file on or after February 4, 2021 an application with the Public Service Commission of Kentucky seeking approval of its amended environmental compliance plan to add Project 22 to Kentucky Power’s existing environmental compliance plan. Kentucky Power also will seek approval of amendments to its Tariff E.S. (Environmental Surcharge) to reflect the amended plan and to implement a revised environmental surcharge to recover the costs of the amended environmental compliance plan. Kentucky Power’s application has been assigned case number 2021-00004. Project 22 involves the (i) closure of the existing ash ponds; (ii) installation of a new liner system in the existing bottom ash pond; (iii) installation of a chemical treatment system for wastewater streams; and (iv) modification of the bottom ash handling systems, installation of a new ash bunker, and installation of a new biological treatment system with ultrafiltration. Project 22 is required for compliance with the Coal Combustion Residuals Rule and the Steam Electric Effluent Limitation Guidelines Rule. Project 22 is expected to be placed in service in multiple stages. Kentucky Power anticipates Project 22 will be placed in service in its entirety beginning in April 2024. Between the October 2021 billing cycle and the June 2024 billing cycle the Company’s environmental surcharge factor rate will change as construction work in progress (“CWIP”) is added to the Tariff E.S. rate base and as the stages of Project 22 are placed in service. If approved by the Commission, the environmental surcharge factor first will be modified to reflect the amended environmental compliance plan beginning with the October 2021 billing cycle to include in the Tariff E.S. rate base CWIP for Project 22 construction costs (Period 1). The residential environmental surcharge factor rate is estimated to increase from 7.2070% (annualized surcharge factor for period ended December 31, 2020) to 7.4890% for the October 2021 billing cycle to reflect the levelized addition of accrued and current CWIP to the Tariff E.S. rate base. The environmental surcharge factor rate for all other customers is estimated to increase from 11.4702% (annualized surcharge factor for period ended December 31, 2020) to 11.8977% for the October 2021 billing cycle to reflect the addition of accrued and current CWIP to the Tariff E.S. rate base. The annualized dollar amount of this Period 1 increase is estimated to be $647,861 for residential customers as a class and $801,816 for all other customers. The environmental surcharge factor calculation next will be modified to reflect the amended environmental compliance plan beginning with the August 2023 billing cycle to include the May 2023 forecasted in-service date for the dry ash handling system (Period 2). The residential environmental surcharge factor rate is estimated to increase from 7.2070% (annualized surcharge factor for period ended December 31, 2020) to 8.2857% beginning with the August 2023 billing cycle. The environmental surcharge factor rate for all other customers is estimated to increase from 11.4702% (annualized surcharge factor for period ended December 31, 2020) to 13.0969% beginning with the August 2023 billing cycle. The annualized dollar amount of this Period 2 increase is estimated to be $2,499,245 for residential customers as a class and $3,093,159 for all other customers. The environmental surcharge factor calculation also will be modified to reflect the amended environmental compliance plan beginning with the February 2024 billing cycle to include the November 2023 forecasted in-service date for the wastewater ponds (Period 3). The residential environmental surcharge factor rate is estimated to increase from 7.2070% (annualized surcharge factor for period ended December 31, 2020) to 8.5229% beginning with the February 2024 billing cycle. The environmental surcharge factor rate for all other customers is estimated to increase from 11.4702% (annualized surcharge factor for period ended December 31, 2020) to 13.4517% beginning with the February 2024 billing cycle. The annualized dollar amount of this Period 3 increase is estimated to be $3,056,688 for residential customers as a class and $3,783,070 for all other customers. The environmental surcharge factor calculation last will be modified to reflect the amended environmental compliance plan beginning with the July 2024 billing cycle to include the April 2024 forecasted in-service date for the water biological treatment system with ultrafiltration (Period 4). The residential environmental surcharge factor rate is estimated to increase from 7.2070% (annualized surcharge factor for period ended December 31, 2020) to 8.7738% beginning with the July 2024 billing cycle. The environmental surcharge factor rate for all other customers is estimated to increase from 11.4702% (annualized surcharge factor for period ended December 31, 2020) to 13.8257% beginning with the July 2024 billing cycle. The annualized dollar amount of this Period 4 increase is estimated to be $3,649,454 for residential customers as a class and $4,516,699 for all other customers. The impact on the total monthly bill amount beginning in October 2021 for Kentucky Power’s residential customers is estimated to be 0.28% and increasing to 1.58% beginning with the July 2024 billing cycle. The impact on the total monthly bill amount beginning in October 2021 for all non-residential customers is estimated to be 0.30% and increasing to 1.68% beginning with the July 2024 billing cycle. For a residential customer using 1,219 kWh per month, the monthly increase in the customer’s total bill is expected to be $0.40 beginning in October 2021 and increasing to $2.26 beginning in July 2024. Information regarding the effect on customer bills by customer classification for each of Period 1 through Period 4 is presented in the table below: Period 1 Average Average Average Customer Customer Present Change / Customer Usage Demand Average Percent Total Bill Proposed Classification (kWh)* (kW)* Bill* Change Impact Average Bill (1) (2) (3) (4) (5) (6) (7) R.S. 1,219 0 $ 142.92 0.28% $ 0.40 $ 143.32 S.G.S. - T.O.D. 1,445 0 $ 169.50 0.30% $ 0.51 $ 170.00 M.G.S. - T.O.D. 3,391 0 $ 396.91 0.30% $ 1.18 $ 398.09 G.S. 1,523 5 $ 213.34 0.30% $ 0.64 $ 213.98 L.G.S. 57,379 180 $ 6,496.34 0.30% $ 19.39 $ 6,515.73 I.G.S. 2,343,333 4,231 $ 140,288.15 0.30% $ 418.72 $ 140,706.87 M.W. 17,830 27 $ 1,912.39 0.30% $ 5.71 $ 1,918.10 O.L. 79 0 $ 16.65 0.30% $ 0.05 $ 16.70 S.L.** 59 0 $ 11.37 0.30% $ 0.03 $ 11.41 Period 2 Average Average Average Customer Customer Present Change / Customer Usage Demand Average Percent Total Bill Proposed Classification (kWh)* (kW)* Bill* Change Impact Average Bill (1) (2) (3) (4) (5) (6) (7) R.S. 1,219 0 $ 142.92 1.09% $ 1.55 $ 144.47 S.G.S. - T.O.D. 1,445 0 $ 169.50 1.15% $ 1.95 $ 171.45 M.G.S. - T.O.D. 3,391 0 $ 396.91 1.15% $ 4.57 $ 401.48 G.S. 1,523 5 $ 213.34 1.15% $ 2.46 $ 215.80 L.G.S. 57,379 180 $ 6,496.34 1.15% $ 74.80 $ 6,571.14 I.G.S. 2,343,333 4,231 $ 140,288.15 1.15% $ 1,615.30 $ 141,903.45 M.W. 17,830 27 $ 1,912.39 1.15% $ 22.02 $ 1,934.41 O.L. 79 0 $ 16.65 1.15% $ 0.19 $ 16.84 S.L.** 59 0 $ 11.37 1.15% $ 0.13 $ 11.50 Period 3 Average Average Average Customer Customer Present Change / Customer Usage Demand Average Percent Total Bill Proposed Classification (kWh)* (kW)* Bill* Change Impact Average Bill (1) (2) (3) (4) (5) (6) (7) R.S. 1,219 0 $ 142.92 1.33% $ 1.90 $ 144.81 S.G.S. - T.O.D. 1,445 0 $ 169.50 1.41% $ 2.39 $ 171.89 M.G.S. - T.O.D. 3,391 0 $ 396.91 1.41% $ 5.59 $ 402.50 G.S. 1,523 5 $ 213.34 1.41% $ 3.00 $ 216.35 L.G.S. 57,379 180 $ 6,496.34 1.41% $ 91.48 $ 6,587.82 I.G.S. 2,343,333 4,231 $ 140,288.15 1.41% $ 1,975.58 $ 142,263.73 M.W. 17,830 27 $ 1,912.39 1.41% $ 26.93 $ 1,939.32 O.L. 79 0 $ 16.65 1.41% $ 0.23 $ 16.88 S.L.** 59 0 $ 11.37 1.41% $ 0.16 $ 11.53 Period 4 Average Average Average Customer Customer Present Change / Customer Usage Demand Average Percent Total Bill Proposed Classification (kWh)* (kW)* Bill* Change Impact Average Bill (1) (2) (3) (4) (5) (6) (7) R.S. 1,219 0 $ 142.92 1.58% $ 2.26 $ 145.18 S.G.S. - T.O.D. 1,445 0 $ 169.50 1.68% $ 2.85 $ 172.35 M.G.S. - T.O.D. 3,391 0 $ 396.91 1.68% $ 6.67 $ 403.58 G.S. 1,523 5 $ 213.34 1.68% $ 3.59 $ 216.93 L.G.S. 57,379 180 $ 6,496.34 1.68% $ 109.22 $ 6,605.56 I.G.S. 2,343,333 4,231 $ 140,288.15 1.68% $ 2,358.70 $ 142,646.84 M.W. 17,830 27 $ 1,912.39 1.68% $ 32.15 $ 1,944.54 O.L. 79 0 $ 16.65 1.68% $ 0.28 $ 16.93 S.L.** 59 0 $ 11.37 1.68% $ 0.19 $ 11.56 * Based on 12-months ending December 2020 ** Number of lamps, not customers The application described in this notice is proposed by Kentucky Power. The Public Service Commission may issue an order modifying or denying the relief sought in Kentucky Power’s application. Such action may result in an environmental surcharge for customers of Kentucky Power other than the environmental surcharge described in this notice. Upon filing, Kentucky Power’s application, tariff filings, and any related filings will be available for public inspection at Kentucky Power’s offices located at 1645 Winchester Avenue, Ashland, Kentucky 41101 with a phone number of 606-327-2600; 1400 E. Main St., Hazard, KY 41701 with a phone number of 606-436-1322; and 3249 North Mayo Trail, Pikeville, KY 41501 with a phone number of 606-437-3827. Additionally, the application and other related filings will be available for public inspection on the Company’s website: www.kentuckypower.com. The application, tariff filings, testimony, and related filings also will be available for public inspection between the hours of 8:00 a.m. to 4:30 p.m., Monday through Friday, at the Commission’s offices located at 211 Sower Boulevard, Frankfort, Kentucky when the offices of the Commission reopen to the public. The application, tariff filings, testimony, and related filings also may be found on the Commission’s website: http://psc.ky.gov once filed. Written comments on Kentucky Power’s application and the proposed tariff changes may be submitted to the Commission by mail to Public Service Commission, P. O. Box 615, Frankfort, Kentucky 40602-0615 or via the Commission’s website: http:/ /psc.ky.gov. Comments should reference Case No. 2021-00004. Any person, corporation, association, or body politic may submit a timely written request for intervention in this case. The motion shall be submitted to the Public Service Commission, P. O. Box 615, Frankfort, Kentucky 40602-0615, and shall establish the grounds for the request, including the status and interest of the party. If the Commission does not receive a written request for intervention within thirty (30) days of the initial publication of this notice, the Commission may take final action on the application.
Phone: 021-0000
Email:
Website: www.kentuckypower.com

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