PSC action update [Mar. 1996]

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MARCH 1996

INSIDE..

PSC Reduces Georgia Power

Revenue by $48 Million

1

PSCReviews LoadManagement

Program For Georgia Power

Customers

1

"On the NET"

1

PSC Orders Classroom

Communication Service Rates

. Reduced

2

i 995 Highlights

2

Your Inquiries Welcome

2

PSCACTION UPDATE
Commissioner Robert B. Baker, Jr.
Georgia Public Service Commission
244 Washington Street Suite 160
Atlanta, Georgia 30334
(404) 656-4514 Phone (404) 657-2980 Fax

Commissioner Robert B. Baker, Jr.

PSC Reduces Georgia Power
Revenue by $48
Million
At a special administrative session on Friday February 16, 1996 the Public Service Commission approved a $48,183,000 reduction in Georgia Power Company's (GPC's) annual revenue requirements. This reduction was calculated using a 11 .25% return on equity leve!, a reduction from the previous 12.25% ROE. This reduction will be used to fund economic development rates, a storm damage account, repayment of demand side management costs, accelerated amortization of specific electric plants and load management programs.
With the resolution of the earnings issue and GPC's proposed alternate rate plan, the Commission approved an earnings range between 10.0% and 12.5% beginning January 1, 1996. Upon notification to the Commission, any earnings above a 12.5% rate of return on equity will be applied by the Company toward the accelerated depreciation of specifically identifiable electric plant generation, transmission, or distribution assets.
The Company has agreed not to file a general rate case unless the earnings shown
on its surveillance reports fall

below 10.0%. However, Georgia Power must file a general rate proceeding with the Commission on July 1, 1998.
PSC Reviews Load Management Program For Georgia Power Customers
The Commission approved the procedure and schedule to make a decision on Georgia Power's proposed residential load management program, as well as a load management rate that customers can control. The proposed rate is designed to provide the Company's residential customers with the ability to control their usage of electricity during peak times thus saving money on their electric bills. The Commission will hold public hearings on March 12 - 14. Commission staff and other intervenors will present their testimony on April 30 - May 2, with rebuttal testimony to follow. A decision is scheduled to be made by Jun~ 18, 1996.
"On the NET"
On March 1, 1996 the PSC will be offering a Web Page on the Internet. The page will provide the general public information related to utility regulation and motor carrier safety. The Public Service Commission would like to

provide the opportunity to learn more about our agency and encourages community input so we can serve the residents of Georgia more effectively. The PSC Webb Page will provide access to public notices and agendas of hearings, consumer advisories, media advisories, biographies and photos of the five elected Commissioners, Commission requests for public input on issues, and much more. The Internet address is
HTTP://WWW.STATE.GA.US/Pscl
and will be activated March 1, 1996. Please check it out!
PSC Orders Classroom
Communication Service
Rates Reduced
Classroom Communications Service provides local access service for in-classroom use and data communications. In the past, classrooms and libraries had to pay business rates for telephone service. This service is intended only as a communications link placed in classrooms or information retrieval centers for the purpose of enhancing the education process. Classroom Communications Service is available to full time public or private educational institutions, teaching grades K through 12 that are accredited by the State of Georgia. Access lines may not be used for administrative purposes. BellSouth's rate is one -half its residential rate and provides 30 free calls. Calls exceeding this are charged at
.12 each. Normal application
of service charges for business lines apply. BellSouth also offers this service to public libraries including the state library and archives, regional and public libraries in any county, city, or town. Alltell charges a monthly basic rate eqUivalent to the rate charged for a one-party

residential line. All service charges that normally apply to business service are included. Alltell's reduced rates are not available to libraries at this time.
1995 Highlights.

a

Extended area service

(EAS) for 186 telephone

routes

The Commission has approved 186 new EAS routes throughout Georgia.

a

PSC ordered BeliSouth

rate reduction and refund for

customers

After an extensive

investigation of BellSouth's

revenues, expenses and their

incentive regulation plan, the

PSC approved rate reductions of

$32,646,000,

and a

refund of $8,801,000 for

BellSouth customers. BellSouth

customers received a one-time

$2.80 credit per access line as

part of the refund.

a

Atlanta toll-free calling

area expanded

On July 1, 1995 the expansion of the Atlanta toll-free calling area was completed. Thirty-five additional exchanges were added to the existing toll-
free calling area giving consumers the largest toll free dialing area in the world.

a

Commission ordered

Atlanta Gas Light Company

refund

The Atlanta Gas Light

Company was ordered to refund

approximately $38,000,000

($22.00 per residential

customer) due to an over

estimation by the company of its purchased gas cost.

a

Intrastate trucking

deregulated

In connection with the
Federal Aviation Authorization Act of 1994 the Commission eliminated the need for motor carriers, except household goods movers and passenger carriers, to file tariffs and seek rate change approval.

a

Intrastate switched

access rates further reduced

The cost of intrastate long distance calls was further reduced when the Commission ordered an additional half-cent per minute reduction for consumers. Georgia has the fourth lowest intrastate switched access rate in the nation. Georgia consumers pay only $0.0403 per minute. Maine has the highest rate of $0.3436 per minute and North Carolina customers pay $0.1016 per minute.

Your Inquiries Welcome

Please do not hesitate to contact my office should you
have a question about the Commission's cases or a utility problem. -
.'., ..If lam not available my assistant, 'Karyn Prestridge, can personally help you or direct you to-the appropriate person or
department. My direct dial office
phone number is (404) 6564514 and my office fax number is (404) 657-2980.