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Farmington council adopts revised wholesale transmission rate tied to SPP RTO transition
Summary
Farmington Electric Utility staff recommended and the council adopted changes to wholesale rate 11 to align with the utility’s planned entry into SPP’s regional transmission organization, lowering the reservation charge and adjusting line-loss assumptions with estimated revenue impacts and a pending FERC filing.
Farmington Electric Utility System staff told the City Council the utility’s move to participate in the Southwest Power Pool (SPP) regional transmission organization requires recalculating wholesale transmission cost recovery for a small set of embedded wholesale customers.
Hank Harris presented the analysis and recommended revising wholesale rate 11. Harris said the recommended revision would reduce the reservation charge from $3.26 per kilowatt-month to $0.25 per kilowatt-month and reduce line-loss assumptions for those embedded segments; in his…
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