ML19242B932
| ML19242B932 | |
| Person / Time | |
|---|---|
| Site: | LaSalle  |
| Issue date: | 05/02/1979 |
| From: | Delgeorge L COMMONWEALTH EDISON CO. |
| To: | Parr O Office of Nuclear Reactor Regulation |
| References | |
| NUDOCS 7908090558 | |
| Download: ML19242B932 (58) | |
Text
Commonwealth Edison One f ast Na$onai Puza. Cn cagt Uhnc s g
Address Reply to Post Oftce Box 767 Chicago. I:hneis 60690 i
May 2, 1979 Mr. Olan D.
Parr, Chief Light Water Reactors - Branch 3 Division of Project Management U.S. Nuclear Regulatory Commission Washington, D.C.
20555
Subject:
Rcsponse to Request for Financial Information LaSalle County Station Units 1 and 2 NRC Docket Noa. 5(-373 and 50-374 References (a):
O.
D. Parr letter to B.
Lee, Jr.
dated January 29, 1979 (b):
L. O.
DelGeorge letter to O.
3 Parr dated April 9, 1979 Dear Mr. Parr in response to the request for financial information contained in Reference (a), the enclosed materials are being suhaitted.
This transmittal completes the commitzment contained in Reference (b) to respond to questions 410.4 b and 410.4.c.
Both the responses contained in thin transmittal and those sub-mitted in Reference (b) will be formally docu:aented in an amendment to the LaSalle county Fina3 Safety Analysis Report.
One (1) signed original and thirty-nine (39) copies of this letter and forty (40) copies of the enclosure are submitted for your review.
Very truly yours, of L. O. DelGeorge Nuclear Licensing Administrator LaSalle County Station enclosure
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us 790800055#
I Answer to Request for Additional Information by Nuclear Regulatory Commission 410.4.b. The responses to this request are based upon regulation of Edison's retail business by the Illinois Co=merce Commission. This acco r ts for about 99% of Edison's total business.
(1) AFUDC -- Allowance for funds used during construction is accrued until plant goes into service. The AFUDC rate was 7% in 1978 and will be slightly higher in 1979 and 1980 Construction work in progress (CWIP) has not in the pst been allowed in rate base for Commonwealth Edison. In a recently filed retail rate care the Company has proposed the inclusion of some CWIP in rate base.
(2) Rate base -- The Illinois Commerce Commission uses an original cost rate beso fc ratemaking purposes.
(3) Deferrec' income taxes -- The Company uses normalized accounting.
Deferred income taxes are acorued and deducted from rate base for rate mking.
(4) Investment tax credit -- Investaent tax credits are amortized over the life of related plant i'acilitica. As the result of an election unde by Edison pursuant to law, unamortized investment tax credits are not deducted from rate base for ratemking purposes.
(5) Fuel adjustment -- Con =onwealth Edison's fuel adjustment in effect provides for recovery of only fossil fuel costs. The Illinois Commarce Commission, however, has a generic proceeding in progress in which its staff has proposed a formula for state-wide use that would provide for the recovery of nuclear fuel costs and prehesed power energy charges as well as fossil fuel costs.
(6) Test period -- In its last few rate proceedings Commonwealth Edison has proposed and the Commission has used a test period for which partial actual data are available before the close of the proceeding.
In a rate case filed in April,1979, however, the Company is pro-posing the use of calendar 1980 as the test period. No actual data for the test period will be available in time for the Commission decision, which must be rendered by March,1980.
0.
1 %
410.4.c. See attachment for description of the nature and amount of Edison's most recent rate increase granted and its pending request for an addi-tional increase. Also attached nre the following:
A.
Rate increase granted in Leoenber,1978, 1.
Order of the Illinois Con:merce Co.2:issica authorizing the increase (Docket No. 78-0(45).
2.
Testimony of Ralph Olsen, Illinois Commerce Cor:nis-sien Staff.
3.
Testimony of Hubert H. Nexon, Cor:monwealth Edison 4.
" Ralph L. Heumann
" Robert J. Schultz 5
6.
" L. Sanford Reis 7.
Updated forecest data, 8 co. actual, 4 mo. estimted (referred to as Compny Exhibit 12)
B.
Fending request for rate increase.
1.
Testimony of Hubert H. Nexon 2
" Ralph L. Heutnavn
" Robert J. Schultz 3.
4.
" George P. Rifakes 5.
" Roger F. Kovak 6
" Robert R. Nathan
" Yark D. Luftig 7.
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s ATTACINENT FOR ITEM N0. 4A-RATE DEVEl.0PMENTS Electric Gas Steam Granted Test year utilized 1978 Annual amount of revenue increase requested-
$128.2 million test year basis (000's)
Date petition filed Jan. 20,1978 Annual amount of revanue increase allowed-test year basis (000's)
$74.88 m'llion Percent increase in revenues allowed 3.1%
Date of final order Dec.13,1978 Effective date Dec. 14, 1978 Rate base finding (000's)
$4,404.6 million Construction work in progress included in Rate base (000's)
None Rate of return on rate base authorized 9.3%
Rate of return on cocinon equity authorized 12.5%
Revenue Effect (000's)
Amount received in year granted -- 1978
$ 1.2 million Amount received in subsequent year -- 1979
$78.6 million (If not available, annualize amounts received in year granted)
Pending Requests Test year utilized 1980 Amount (000's)
$484.2 million ($452 milliot. on 1978 basis)
Percent increase 16.5% (18.3% on 1978 basis)
Date petition filed April 6, 1980 1979 Date by which decision must be issued March 3, Rate of return on rate base requested 10.31%
Rate of return on coninon equity requested 14,14%
A;nount of rate base requested
$6,077.3 million Amount of construction work in progress requested for inclusion in rate base
$ 325 million
.