NAC704.9718. Recovery or refund of deferred general revenue; general revenue decoupling adjustment rate.

     1. A gas utility authorized to use the general revenue decoupling methodology must recover or refund its deferred general revenue by applying a per therm general revenue decoupling adjustment for each applicable customer class. The general revenue decoupling adjustment rate must remain in effect until the Commission changes the rate.

     2. The general revenue decoupling adjustment rate must be adjusted annually in the annual conservation and energy efficiency plan report and conservation and energy efficiency plan filed after the implementation of the general revenue decoupling methodology.

     3. The general revenue decoupling adjustment rate must be calculated individually for each customer class, excluding customers served under negotiated agreements, and accounted for as follows:

     (a) A separate subaccount of FERC Account No. 182.3 must be maintained for each customer class, excluding customers served under negotiated agreements, and the balance of the subaccount must be used to calculate the general revenue decoupling adjustment.

     (b) The gas utility must calculate annually the deferred general revenue. The deferred general revenue per customer equals the difference between:

          (1) The general revenue on a per customer basis authorized in the general rate application in which the Commission approved the request to decouple revenue or, if applicable, the subsequent change in general rate revenue approved by the Commission; and

          (2) The tracking period general revenue on a per customer basis.

Ê The deferred general revenue per customer must be multiplied by the number of customers for the tracking period.

     (c) The net amount of deferred general revenue for the tracking period calculated pursuant to paragraph (b) must be recorded in a subaccount of FERC Account No. 182.3 and included in the determination of the balance of the subaccount of FERC Account No. 182.3 which is used to calculate the general revenue decoupling adjustment.

     (d) Monthly, a credit entry or debit entry, if negative, for the amortization of the general revenue decoupling adjustment must be recorded in the subaccount of FERC Account No. 182.3. The amortization amount must be equal to the amount of revenue derived by applying the general revenue decoupling adjustment to the jurisdictional sales of the applicable customer class.

     (e) The balance of the subaccount of FERC Account No. 182.3 at the end of the tracking period adjusted pursuant to paragraph (d) must be divided by the total sales for the tracking period.

     (Added to NAC by Pub. Utilities Comm’n by R067-09, eff. 11-25-2009)