Notice of NorthWestern Energy Interim Rate Adjustment Request for Townsend propane
Author: Jo Dee Black, NorthwestWestern Energy
Notice of NorthWestern Energy Interim Rate Adjustment Request for Townsend Propane Jo Dee Black, NorthwestWestern Energy DEPARTMENT OF PUBLIC SERVICE REGULATION BEFORE THE PUBLIC SERVICE COMMISSION OF THE STATE OF MONTANA IN THE MATTER of NorthWestern Energy’s ) Townsend Propane Annual Adjustment Filing ) Docket No. 2023.__.___ )
NOTICE OF INTERIM RATE ADJUSTMENT REQUEST
NorthWestern Energy (“NorthWestern”) serves notice pursuant to ARM 38.5.503 that it has filed with the Montana Public Service Commission (“Commission”), via its application in this docket, a request for an interim rate decrease for the propane supply rates for its Townsend, Montana customers. The proposed rates reflect current propane supply costs based on the Propane Supply Agreement, costs associated with propane plant usage and carrying costs, and the Unreflected Propane Supply Cost Account ("UPSCA”) Balance.
This docket commenced on April 28, 2023 when NorthWestern made a filing including a Fact Sheet, exhibits, and workpapers with the Commission. NorthWestern requested the proposed propane rates become effective on an interim basis for service on and after June 1, 2023.
The rate adjustments proposed in this filing result in the following:
* A decrease in propane supply costs to $1.26444 per therm from June 1, 2023 to September 30, 2023, $1.50804 per therm from October 1, 2023, to March 31, 2024, and $1.26444 per therm from April 1, 2024, to May 31, 2024.
* The UPSCA balance, for the 12-month period ending May 31, 2023, was an under-collection of $59,536. NorthWestern proposes to amortize this balance, after including it with the actual prior year UPSCA under-collected balance of $34,311, which is the balance that results from cessation of the amount approved for amortization in Docket No. 2022.04.053.
Therefore, the resulting UPSCA Balance proposed for amortization in this filing is $93,847. NorthWestern proposes to amortize and collect this under-collected balance from customers from June 1, 2023, through May 31, 2024, at a rate of $0. 18605 per therm based on a 12-month forecasted load. This results in a $0.21652 per therm increase from the current rate of (S0.03046) per therm for the UPSCA.
The interim request and supporting documents can be examined at NorthWestern's General Office, 11 East Park Street, Butte, Montana; at the office of the Montana Consumer Counsel (“MCC"), 111 North Last Chance Gulch, Suite lB, Helena, Montana; or at the office of the Commission, 1701 Prospect Avenue, Helena, Montana.
The MCC is available to assist in the representation of consumer interests in this matter, and its phone number is 406-444-2771.
Any response which any person wishes to make on this interim request should be delivered to the Commission at the above address as soon as possible or mailed to the Commission at P.O. Box 202601, Helena, MT 59620-2601.
Any portion of the interim adjustment approved by the Commission, pending hearing and final decision, would, pursuant to § 69-3-304, MCA, be subject to rebate or surcharge if the final decision in this docket is to approve a final revenue level which is different than the interim level.
DATED: April 28, 2023
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