Company: WELPM
Filing Date: 2025-03-27
Form Type: DEF 14C
Source: 0000107815-25-000155
Chunk: 150

Company: WISCONSIN ELECTRIC POWER CO
Filing Date: 2025-03-27
Form: DEF 14C
Chunk 150
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 |    23.3 |     |          |
| Derivatives                       |     |      |     2.7 |     |      |    45.2 |     |     1(p) |
| Other, net                        |     |      |    63.6 |     |      |    45.4 |     |          |
| Total regulatory assets           |     | $    | 2,946.3 |     | $    | 2,860.7 |     |          |

(1) Based on prior and current rate treatment, we believe it is probable that we will continue to recover from customers the regulatory assets in this table. In accordance with GAAP, our regulatory assets do not include the allowance for ROE that is capitalized for regulatory purposes. This allowance was $18.1 million and $16.5 million at December 31, 2024 and 2023, respectively.

(2) As of December 31, 2024, we had $0.3 million of regulatory assets not earning a return and $117.9 million of regulatory assets earning a return based on long-term interest rates. The regulatory assets not earning a return relate to certain environmental remediation costs. The other regulatory assets in the table either earn a return at our weighted average cost of capital or the cash has not yet been expended, in which case the regulatory assets are offset by liabilities.

(3) At December 31, 2024, plant retirement related items included $20.0 million of capitalized retirement costs related to the new EPA CCR Rule that was enacted in April 2024.

(4) Primarily represents the unrecognized future pension and OPEB costs related to our defined benefit pension and OPEB plans. We are authorized recovery of these regulatory assets over the average remaining service life of each plan.

(5) This regulatory asset relates to our 2014 announcement to retire the PIPP. Despite our intent to retire the PIPP, MISO designated the PIPP as an SSR, which meant the PIPP's operation was necessary for reliability, and the plant could not be shut down until new generation or transmission facilities were built. In December 2014, the PSCW authorized escrow accounting for our SSR revenues because of the fluctuations in the actual revenues we received under the PIPP SSR agreements. The rate order we received from the PSCW in December 2019 authorized recovery of this SSR regulatory asset over a 15-year period that began