Missouri Code of State Regulations › Title 20 - DEPARTMENT OF COMMERCE AND INSURANCE › Division 4240 - Public Service Commission › Chapter 20 - Electric Utilities › Section 20 CSR 4240-20.093 - Demand-Side Programs Investment Mechanisms

Current through Register Vol. 49, No. 14, July 15, 2024
PURPOSE: This rule allows the establishment and
				  operation of Demand-Side Programs Investment Mechanisms (DSIM), which allow
				  periodic rate adjustments related to recovery of costs and utility incentives
				  for investments in demand-side programs.
(1) The definitions of terms used in this
				section can be found in
				4 CSR
				240-20.092 Definitions for Demand-Side Programs and
				Demand-Side Programs Investment Mechanisms.
(2) Applications to establish, continue, or
				modify a Demand-Side Programs Investment Mechanism (DSIM). Pursuant to the
				provisions of this rule,
				4 CSR
				240-2.060, and section
				393.1075,
				RSMo, an electric utility shall file an application with the commission to
				establish, continue, or modify a DSIM in a utility's filing for demand-side
				program approval.
(A) An application to
				establish a DSIM shall include the following supporting information as part of,
				or in addition to, its direct testimony. Supporting workpapers shall be
				submitted with all models and spreadsheets provided as executable versions in
				native format with all links and formulas intact.
1. The notice provided to customers
				describing how the proposed DSIM will work, how any proposed DSIM rate will be
				determined, and how any DSIM rate will appear on customers' bills;
2. An example customer bill showing how the
				proposed DSIM shall be separately identified on affected customers'
				bills;
3. A complete, reasonably
				detailed, description and explanation of the design, rationale, and intended
				operation of the proposed DSIM;
4.
				Estimates of the effect of the DSIM and all other impacts of the demand-side
				program spending, in aggregate, on customer rates and average bills for each of
				the next five (5) years, and as a net present value of net benefits over the
				lifetime of the demand-side program impacts, for each rate class;
5. Estimates of the effect of the DSIM on
				earnings and key credit metrics for each of the next three (3) years including
				the level of earnings and key credit metrics expected to occur for each of the
				next three (3) years with and without the DSIM;
6. A complete, reasonably detailed,
				explanation of all the costs that shall be considered for recovery under the
				proposed DSIM and the specific account used for each cost item on the electric
				utility's books and records;
7. A
				complete, reasonably detailed, explanation of any change in business risk to
				the electric utility resulting from implementation of a DSIM in setting the
				electric utility's allowed return on equity, in addition to any other changes
				in business risk experienced by the electric utility;
8. A proposal for how the commission can
				determine if the DSIM is aligned with helping customers use energy more
				efficiently;
9. If the utility
				proposes to adjust its DSIM rates between general rate proceedings, proposed
				DSIM rate adjustment clause tariff sheets; and
10. If the utility proposes to adjust the
				DSIM amount between general rate proceedings, a complete, reasonably detailed,
				explanation of how the DSIM rates shall be established and how they will be
				adjusted for any over- and/or under-recovery amounts, as well as the impact on
				the DSIM amount as a result of, established, modified, or discontinued
				demand-side programs.