(a) General rule.--Whenever an electric generating unit, determined by the commission to be a base load unit, is out of service for more than 120 consecutive days, a utility owning a share of that unit shall not be permitted to recover, through base rates, a sliding scale of rates, or by any other means, the excess energy costs incurred to generate or purchase replacement power occasioned by any portion of the outage which the commission determines to be unreasonable or imprudent. In making its determination under this subsection, the commission shall consider, in addition to any other relevant evidence, whether the outage could have been shortened or avoided if the unit had been properly constructed, operated or maintained.
(b) Notice of outage.--Whenever an electric generating unit, determined by the commission to be a base load unit, is out of service for 45 consecutive days, any utility owning a share of that unit shall submit to the commission and the Office of Consumer Advocate a status report on that outage. The utility shall submit subsequent status reports on the outage to the commission and the Office of Consumer Advocate at least by the 20th day of each subsequent month until the unit returns to service. If more than one utility owns a share in the electric generating unit, the commission may designate one utility to make the reports required by this subsection.
(c) Operation at less than reasonable level of generation.--Whenever the actual generation of an electric generating unit, determined by the commission to be a base load unit, is less than 50% of the unit's potential generation during any calendar year or other 12-month period specified by the commission, the commission, on its own motion or upon complaint, may initiate an investigation to determine a reasonable level of generation for that unit. In establishing rates as part of that investigation or in any subsequent proceeding, the commission shall not permit recovery of the excess energy costs incurred to generate or purchase replacement power occasioned by the failure of the unit to operate at or above such reasonable level of generation, if such failure is determined to be unreasonable or imprudent.
(d) Procedure.--In carrying out its powers and duties under this section, the commission may hold such hearings as it deems necessary. The utility shall have the burden of proof in any proceeding under this section.
(e) Other powers and duties preserved.--This section shall not be construed to diminish the powers and duties of the commission under any other provision of law to reduce rates in the event of an outage of an electric generating unit, regardless of the duration of that outage.
(f) Definition.--As used in this section the term "excess energy costs" means the additional costs incurred to purchase or generate replacement power minus the fuel costs which would have been incurred to generate an equivalent amount of power from the affected base load unit.
(July 10, 1986, P.L.1238, No.114, eff. imd.)
1986 Amendment. Act 114 added section 1322.
Structure Pennsylvania Consolidated & Unconsolidated Statutes
Pennsylvania Consolidated & Unconsolidated Statutes
Chapter 13 - Rates and Distribution Systems
Section 1301 - Rates to be just and reasonable
Section 1301.1 - Computation of income tax expense for ratemaking purposes
Section 1302 - Tariffs; filing and inspection
Section 1303 - Adherence to tariffs
Section 1304 - Discrimination in rates
Section 1305 - Advance payment of rates; interest on deposits
Section 1306 - Apportionment of joint rates
Section 1307 - Sliding scale of rates; adjustments
Section 1308 - Voluntary changes in rates
Section 1309 - Rates fixed on complaint; investigation of costs of production
Section 1310 - Temporary rates
Section 1311 - Valuation of and return on the property of a public utility
Section 1313 - Price upon resale of public utility services
Section 1314 - Limitation on prices paid for property and fuel
Section 1315 - Limitation on consideration of certain costs for electric utilities
Section 1316 - Recovery of advertising expenses
Section 1316.1 - Recovery of club dues
Section 1317 - Regulation of natural gas costs
Section 1318 - Determination of just and reasonable gas cost rates
Section 1319 - Financing of energy supply alternatives
Section 1320 - Fuel purchase audits by complaint
Section 1321 - Recovery of certain employee meeting expenses
Section 1322 - Outages of electric generating units
Section 1323 - Procedures for new electric generating capacity
Section 1324 - Residential telephone service rates based on duration or distance of call
Section 1325 - Local exchange service increases; limitation (Repealed)
Section 1326 - Standby charge prohibited
Section 1327 - Acquisition of water and sewer utilities
Section 1328 - Determination of public fire hydrant rates
Section 1329 - Valuation of acquired water and wastewater systems
Section 1330 - Alternative ratemaking for utilities
Section 1350 - Scope of subchapter
Section 1352 - Long-term infrastructure improvement plan
Section 1353 - Distribution system improvement charge
Section 1354 - Customer notice
Section 1356 - Asset optimization plans
Section 1357 - Computation of charge