Commission authorizes WPNL accounting treatment for Heartland pipeline participation, declines carrying cost authorization

The Public Service Commission approved Wisconsin Power and Light’s (WPNL) request to record its contribution in aid of construction (described in the meeting as "kayak") for participation in the ANR Heartland expansion project into account 182.3 (other regulatory assets), subject to reporting and standard administrative conditions, and did not authorize carrying costs at this time (docket 66‑80‑AF‑108).

Chair Strand opened the discussion with background: WPNL requested authorization to record roughly $73.1 million of projected capital investment (about $81.3 million including carrying costs, per the company’s estimate) as a contribution to the Heartland expansion, which would add new pipeline capacity and replacements in Wisconsin and Illinois. Chair Strand noted that because the pipeline is an ANR asset that requires FERC approval and is not currently an ANR project with filed FERC authorization, the commission’s scope for oversight is limited and he recommended guardrails including quarterly reporting. "Because this is an ANR…