CASE NO. PUR-2021-00205
On September 14, 2021, Appalachian Power Company (“APCo” or “Company”) filed with the State Corporation Commission (“Commission”)
an application (“Application”) pursuant to§ 56-249.6 of the Code of Virginia (“Code”) seeking an increase in its fuel factor. The Company
proposes to increase the current factor of 1.999 cents per kilowatt hour (“¢/kWh”) to 2.300¢/kWh, effective for service rendered November 1,
2021, through October 31, 2022 (“Fuel Year”).
The Company’s proposed fuel factor consists of both an in-period component and a prior period component. APCo’s proposed in-period
component is designed to recover its estimated Virginia jurisdictional fuel expenses during the Fuel Year of approximately $281,296,848,
which includes non-incremental costs associated with APCo’s wind contracts; a credit for 75% of projected Off System Sales margins; PJM
Interconnection, L.L.C. (“PJM”), Load Serving Entity transmission losses; PJM congestion charges; 100% of incremental transmission line
loss margins; and Financial Transmission Right revenues. The Company proposes an in-period factor component of 2.021¢/kWh.
The prior-period component is a true-up component designed to recover from customers over the Fuel Year an estimated under-recovered
deferred fuel balance as of October 31, 2021. The Company states that it divided the projected deferred fuel cost balance by the projected
Virginia jurisdictional energy sales for the Fuel Year to obtain the prior period under-recovery component of 0.279¢/kWh.
The Company represents that the combined impact of the Company’s proposed fuel factor over the Fuel Year is an annual revenue increase of
approximately $42 million. APCo maintains that this proposal would increase the monthly bill of a residential customer using 1,000 kWh of
electricity by $3.01, from $117.31 to $120.32.
The Commission entered an Order Establishing 2021-2022 Fuel Factor Proceeding (“Order”) that, among other things, scheduled public
hearings on APCo’s Application. On February 2, 2022, at 10 a.m., a Hearing Examiner appointed by the Commission will hold a telephonic
hearing for the purpose of receiving the testimony of public witnesses, with no public witness present in the Commission’s courtroom. On or
before January 28, 2022, any person desiring to offer testimony as a public witness shall provide to the Commission (a) your name, and (b) the
telephone number that you wish the Commission to call during the hearing to receive your testimony. This information may be provided to the
Commission in three ways: (i) by filling out a form on the Commission’s website at; (ii) by completing and
emailing the PDF version of this form to; or (iii) by calling (804) 371-9141. This public witness hearing will be
webcast at
On February 3, 2022, at 10 a.m., either in the Commission’s second floor courtroom located in the Tyler Building, 1300 East Main Street, Richmond, Virginia 23219, or by electronic means, a Hearing Examiner appointed by the Commission will convene a hearing to receive testimony
and evidence offered by the Company, any respondents, and the Commission’s Staff on the Company’s Application. Further details on this
hearing will be provided by subsequent Commission Order or Hearing Examiner’s Ruling.
In its Order, the Commission allowed the Company to place its proposed fuel factor of 2.300¢/kWh into effect on an interim basis for service
rendered on and after November 1, 2021.
The Commission has taken judicial notice of the ongoing public health issues related to the spread of the coronavirus, or COVID-19. In accordance therewith, all pleadings, briefs, or other documents required to be served in this matter shall be submitted electronically to the extent
authorized by 5 VAC 5-20-150, Copies and format, of the Rules of Practice. Confidential and Extraordinarily Sensitive Information shall not
be submitted electronically and should comply with 5 VAC 5-20-170, Confidential information, of the Rules of Practice. Any person seeking
to hand deliver and physically file or submit any pleading or other document shall contact the Clerk’s Office Document Control Center at (804)
371-9838 to arrange the delivery.
Pursuant to 5 VAC 5-20-140, Filing and service, of the Rules of Practice, the Commission has directed that service on parties and the Commission’s Staff in this matter shall be accomplished by electronic means. Please refer to the Commission’s Order for further instructions concerning Confidential or Extraordinarily Sensitive Information.
An electronic copy of the Company’s Application may be obtained by submitting a written request to counsel for the Company, Noelle J.
Coates, Esquire, American Electric Power Service Corporation, 3 James Center, 1051 East Cary Street, Suite 1100, Richmond, Virginia 23219,
On or before January 27, 2022, any interested person may file comments on the Application by following the instructions on the Commission’s
website: Those unable, as a practical matter, to submit comments electronically may
file such comments by U.S. mail to the Clerk of the State Corporation Commission, c/o Document Control Center, P.O. Box 2118, Richmond,
Virginia 23218-2118. All comments shall refer to Case No. PUR-2021-00205.
On or before November 15, 2021, any person or entity wishing to participate as a respondent in this proceeding may do so by filing a notice
of participation at Those unable, as a practical matter, to file a notice of participation electronically may file such
notice by U.S. mail to the Clerk of the Commission at the address listed above. Such notice of participation shall include the email addresses
of such parties or their counsel, if available. The respondent simultaneously shall serve a copy of the notice of participation on counsel to the
Company. Pursuant to 5 VAC 5-20-80 B, Participation as a respondent, of the Rules of Practice, any notice of participation shall set forth: (i)
a precise statement of the interest of the respondent; (ii) a statement of the specific action sought to the extent then known; and (iii) the factual
and legal basis for the action. Any organization, corporation, or government body participating as a respondent must be represented by counsel
as required by 5 VAC 5-20-30, Counsel, of the Rules of Practice. All filings shall refer to Case No. PUR-2021-00205.
On or before December 3, 2021, each respondent may file with the Clerk of the Commission any testimony and exhibits by which the respondent expects to establish its case. Any respondent unable, as a practical matter, to file testimony and exhibits electronically may file such by
U.S. mail to the Clerk of the Commission at the address listed above. Each witness’s testimony shall include a summary not to exceed one
page. All testimony and exhibits shall be served on the Commission’s Staff, the Company, and all other respondents simultaneous with its
filing. In all filings, respondents shall comply with the Rules of Practice, including 5 VAC 5-20-140, Filing and service, and 5 VAC 5-20-240,
Prepared testimony and exhibits. All filings shall refer to Case No. PUR-2021-00205.
Any documents filed in paper form with the Office of the Clerk of the Commission in this docket may use both sides of the paper. In all other
respects, except as modified by the Commission’s Order, all filings shall comply fully with the requirements of 5 VAC 5-20-150, Copies and
format, of the Rules of Practice.
The Company’s Application, the Commission’s Rules of Practice and the Commission’s Order may be viewed at: