WSP07421

• File Number: 8220.100.50
• Description: CRSP - Power Rates
• Basin: Colorado Mainstem
• Date: 5/1/1986
• Author: USDOE/WAPA
• Title: Rio Grande Project Proposed Adjustment of Power Rate
• Water Supply Pro - Doc Type: Publication

.

Power repayment studies are used to determine whether or not
power revenues are sufficient to pay all of the project cost allocated
to power within the prescribed time periods. The final current RGP
power repayment study (PRS) for FY 1985 using the existing rates
(current PRS) shows that existing rates are insufficient to pay these
costs. The FY 1985 Final Revised PRS shows the need for the following
proposed rates compared with existing rates.

Existing Power Rates

Demand Charge:
Energy Charge:
Composite Annual Rate:

Proposed Power Rate

Demand Charge:
Energy Charge:
Composite Annual Rate:

$ 6.545 per kilowatt-month
15.425 mi 11s per ki lowatthour (kWh)
30.85 mi lls per kWh

$ 7.931 per kilowatt-month
18.66 mi lls per kWh
37.32 mi lls per kWh

The effective date for the proposed new rate is expected to be
the April 1987 bi 11ing period.

A comparison of the average annual costs through the rate
setting year (the year that expenses and required payments meet or
exceed available revenues and the year upon which rates are set) in
the study that supports the existing rates (FY 1983 Revised Study
dated January 5, 1984) and the proposed rates (FY 1985 Final Revised
study dated April 16, 1985) reveals the following:

Annua 1 Cost s
FY 1985 Study
( 1940-1994)

Average
FY 1983 Study
( 1940-1990)

Expense

O&M
Interest
Other
Power Purchases

$437,315
292,397
20,853
104,029
$854,594

Tota 1

Di fference

$534,237
273,326
21,454
92,377

$921,394

$96,922
(19,071)
601
(11,652)
$66,800

The average annual increase in expense over the rate setting
year periodS is primarily attributable to the increase in DIM.

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