North Carolina General Statutes 62-110.6. Rate recovery for construction costs of out-of-state electric generating facilities
Terms Used In North Carolina General Statutes 62-110.6
- Certificate: means a certificate of public convenience and necessity issued by the Commission to a person or public utility or a certificate of authority issued by the Commission to a bus company. See North Carolina General Statutes 62-3
- Commission: means the North Carolina Utilities Commission. See North Carolina General Statutes 62-3
- public utility: except as otherwise expressly provided in this Chapter, shall not include the following:
- Rate: means every compensation, charge, fare, tariff, schedule, toll, rental and classification, or any of them, demanded, observed, charged or collected by any public utility, for any service product or commodity offered by it to the public, and any rules, regulations, practices or contracts affecting any such compensation, charge, fare, tariff, schedule, toll, rental or classification. See North Carolina General Statutes 62-3
- Service: means any service furnished by a public utility, including any commodity furnished as a part of such service and any ancillary service or facility used in connection with such service. See North Carolina General Statutes 62-3
- State: means the State of North Carolina; "state" means any state. See North Carolina General Statutes 62-3
(a) The Commission shall, upon petition of a public utility, determine the need for and, if need is established, approve an estimate of the construction costs and construction schedule for an electric generating facility in another state that is intended to serve retail customers in this State.
(b) The petition may be filed at any time after an application for a certificate or license for the construction of the facility has been filed in the state in which the facility will be sited. The petition shall contain a showing of need for the facility, an estimate of the construction costs, and the proposed construction schedule for the facility.
(c) The Commission shall conduct a public hearing to consider and determine the need for the facility and the reasonableness of the construction cost estimate and proposed construction schedule. If the Commission finds that the construction will be needed to assure the provision of adequate public utility service within North Carolina, the Commission shall approve a construction cost estimate and a construction schedule for the facility. In making its determinations under this section, the Commission may consider whether the state in which the facility will be sited has issued a certificate or license for construction of the facility and approved a construction cost estimate and construction schedule for the facility. The Commission shall issue its order not later than 180 days after the public utility files its petition.
(d) N.C. Gen. Stat. § 62-110.1(f) shall apply to the construction cost estimate determined by the Commission to be appropriate, and the actual costs the public utility incurs in constructing the facility shall be recoverable through rates in a general rate case pursuant to N.C. Gen. Stat. § 62-133 as provided in N.C. Gen. Stat. § 62-110.1(f1).
(e) If the construction of a facility is cancelled, the public utility shall recover through rates in a general rate case conducted pursuant to N.C. Gen. Stat. § 62-133 the costs of construction that were actually incurred prior to the cancellation and are found by the Commission to be reasonable and prudent, as provided in subsections (f2) and (f3) of N.C. Gen. Stat. § 62-110.1 (2007-397, s. 7.)