Liberty Utilities (CalPeco Electric) LLC GRC Proceedings

Test Year (TY) 2022 A.21-05-017 - Docket 

On May 28, 2021, Liberty Utilities (CalPeco Electric) LLC filed TY 2022 GRC Application A.21-05-017 requesting authority to increase its authorized revenues for electric service, update its Energy Cost Adjustment Clause billing factors, establish marginal costs, allocate revenues, and design rates as of January 1, 2022. Based on the application, Liberty seeks approval of a proposed Test Year 2022 base revenue requirement of $151.081 million (reflecting an overall revenue increase of $35.681 million or 30.9%), a rate of return on rate base of 7.42%, a return on equity of 10.5%, and a capital structure of 46% debt and 54% equity, among other requests. Liberty’s proposed revenue would result in a 41.4% base revenue increase, or approximately $42.79 per month for an average use residential permanent customer.

On May 1, 2023, the Commission issued Decision (D.23-04-043), adopting an all-party settlement agreement between Liberty, A-3 Customer Coalition (A-3), Public Advocates Office of the California Public Utilities Commission (Cal Advocates), Small Business Utility Advocates (SBUA), and Tahoe Energy Ratepayers Group (Tahoe).  The settlement addressed all revenue requirement issues, with the parties agreeing to a TY 2022 revenue requirement of $138.087 million, based on the requested 10.5% return on equity (ROE).  However, the Commission did not find sufficient cause to modify the current ROE level of 10% and authorized a revenue requirement of $136.791 million for TY 2022, resulting in an increase of $28.10 for the average residential customer’s monthly bill.

 

Previous Liberty GRC Decisions: