SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) August 28, 1996
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ARIZONA PUBLIC SERVICE COMPANY
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(Exact name of registrant as specified in its charter)
Arizona 1-4473 86-0011170
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(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification
incorporation Number)
400 North Fifth Street, P.O. Box 53999, Phoenix, AZ 85004
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(Address of principal executive offices) (Zip code)
Registrant's telephone number, including area code (602) 250-1000
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NONE
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(Former name or former address, if changed since last report)
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Item 5. Other Events
In August 1996, as part of its ongoing competition docket, the Staff of
the Arizona Corporation Commission ("ACC") conducted another workshop on
electric industry restructuring with interested parties on a number of options
for introducing retail electric competition in Arizona. See Note 5 of Notes to
Condensed Financial Statements in Part I, Item 1 of the Arizona Public Service
Company (the "Company") Quarterly Report on Form 10-Q for the fiscal quarter
ended June 30, 1996. On August 28, 1996 the ACC Staff issued an initial draft of
a proposed rule for introduction of retail electric competition in Arizona for
comments by interested parties by September 12, 1996. A copy of the draft rule
is attached hereto and incorporated herein by this reference. At this time, the
process is not part of a formal rulemaking procedure, and a procedural framework
beyond the comment deadline has not yet been established. The Company cannot
currently predict the process which will be used to initiate ACC rules for
retail electric competition or the ultimate form of such rules.
In April 1996 an Arizona law established legislative and advisory
committees to study electric utility industry restructuring issues and report
back to the legislature by the end of 1997. Members of the committees have
been appointed, and include a representative of the Company.
Item 7. Financial Statement, Pro Forma Financial Information and Exhibits
(c) Exhibits.
Exhibit
No. Description
10.1 Proposed Rule - Retail Electric Competition - Docket No.
U-0000-94-165
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SIGNATURES
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Pursuant to the requirements of the Securities Exchange Act of 1934,
the Company has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
ARIZONA PUBLIC SERVICE COMPANY
(Registrant)
Dated August 30, 1996 By Nancy E. Newquist
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Nancy E. Newquist
Treasurer
Exhibit 10.1
PROPOSED RULE -- RETAIL ELECTRIC COMPETITION
Docket No. U-0000-94-165
R14-2-xxx1. Definitions
In this Article, unless the context otherwise requires:
1. "Affected Utilities" means the following public service corporations
providing electric service:
Tucson Electric Power Company, Arizona Public Service Company,
Citizens Utilities Company, Arizona Electric Power
Cooperative, Trico Electric Cooperative, Duncan Valley
Electric Cooperative, Graham County Electric Cooperative,
Mohave Electric Cooperative, Sulphur Springs Valley Electric
Cooperative, Navopache Electric Cooperative, Ajo Improvement
District, and Morenci Water and Electric Company.
2. "Bundled Service" means electric service provided as a package to the
consumer including all generation, transmission, distribution,
ancillary and other services necessary to deliver useful electric
energy and power to the consumer's residence or place of business.
3. "Buy-through" refers to a purchase of electricity by an Affected
Utility at wholesale for a particular retail consumer or at the
direction of a particular retail consumer.
4. "Standard Offer" means Bundled Service offered to all consumers in a
designated area at regulated rates.
5. "Stranded Investment" means the verifiable net difference between the
value of all the prudent jurisdictional assets under traditional
regulation of Affected Utilities and the market value of those assets
directly attributable to the introduction of competition under this
Article.
6. "System Benefits" means Commission-approved utility low income, demand
side management, environmental, renewables, and nuclear power plant
decommissioning programs.
7. "Unbundled Service" means electric service elements provided and priced
separately, including such service elements as generation,
transmission, distribution, and ancillary services. Unbundled Service
may be sold to consumers or to other suppliers of consumers.
R14-2-xxx2. Filing of Tariffs by Affected Utilities.
Each Affected Utility shall file tariffs consistent with this Article
by June 30, 1997 to allow retail electric competition in its service
territory.
R14-2-xxx3. Certificates of Convenience and Necessity.
A. Any company intending to supply services described in Subsections
R14-2-xxx5 or R-14-2-xxx6, other than wholesale generation services,
shall obtain a Certificate of Convenience and Necessity from the
Commission (unless the company already has an applicable Certificate).
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B. Any company desiring such a Certificate of Convenience and Necessity
shall file with the Docket Control Center the required number of copies
of an application. In support of the request for a Certificate of
Convenience and Necessity, the following information must be provided:
1. A description of the electric services which the applicant
intends to offer.
2. The proper name and correct address of the applicant, and
a. The full name of the owner if a sole proprietorship,
b. The full name of each partner if a partnership,
c. A full list of officers and directors if a corporation,
or
d. A full list of the members if a limited liability
corporation.
3. A tariff for each service to be provided that states the
maximum rate and terms and conditions that will apply to the
provision of the service.
4. A description of the geographic areas to be served, provided
that these areas are restricted to geographical areas served
by the Affected Utilities as of the date this Article is
adopted and to service areas added under the provisions of
Subsection R14-2-xxx11.
5. Appropriate city, county and/or state agency approvals.
6. A description of the applicant's technical ability to obtain
and deliver electricity and provide any other proposed
services.
7. Documentation of the financial capability of the applicant to
provide the proposed services, including the most recent
income statement and balance sheet, the most recent projected
income statement, and other pertinent financial information.
Audited information shall be provided if available.
8. A description of the form of ownership (e.g., partnership,
corporation).
9. An Arizona business plan; if this information is confidential,
the plan may be submitted only to Staff and the need not be
filed in Docket Control.
10. Such other information as the Commission or the Staff may
request.
C. At the time of filing for a Certificate of Convenience and Necessity,
each applicant shall notify the Affected Utilities in whose service
territories it wishes to offer service of the application.
D. The Commission may deny certification to any applicant who:
1. Does not provide the information required by this Article.
2. Does not possess adequate technical or financial capabilities
to provide the proposed services.
3. Fails to provide a performance bond, if required.
E. Every company obtaining a Certificate of Convenience and Necessity
under this Article shall obtain certification subject to the following
conditions:
1. The company shall comply with all Commission rules, orders,
and other requirements relevant to the provision of electric
service and relevant to resource planning.
2. The company shall maintain accounts and records as required by
the Commission.
3. The company shall file with the Director of the Utilities
Division all financial and other reports that the Commission
may require and in a form and at such times as the Commission
may designate.
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4. The company shall maintain on file with the Commission all
current tariffs and any service standards that the Commission
shall require.
5. The company shall cooperate with any Commission investigation
of customer complaints.
6. Failure to comply with any of the above conditions may result
in recision of the company's Certificate of Convenience and
Necessity.
F. In appropriate circumstances, the commission may require, as a
precondition to certification, the procurement of a performance bond
sufficient to cover any advances or deposits the applicant may collect
from its customers, or order that such advances or deposits be held in
escrow or trust.
R14-2-xxx4. Competitive Phases
A. Each Affected Utility shall make available at least 20 percent of its
1995 system retail peak demand for competitive generation supply to all
customer classes (including residential and small commercial consumers)
by January 1, 1999.
1. No more than one-half of the eligible demand may be procured
by consumers whose individual contract demand is greater than
3 MW each.
2. At least 10 percent of the eligible demand shall be reserved
for residential consumers.
3. Aggregation of loads of multiple residential, commercial, or
industrial consumers shall be permitted.
B. Each Affected Utility shall make available at least 50 percent of its
1995 system retail peak demand for competitive generation supply to all
customer classes (including residential and small commercial consumers)
by January 1, 2001.
1. No more than one-half of the eligible demand may be procured
by consumers whose individual contract demand is greater than
3MW each.
2. At least 20 percent of the eligible demand shall be reserved
for residential consumers.
3. Aggregation of loads of multiple residential, commercial, or
industrial consumers shall be permitted.
C. Prior to 2001, no single consumer shall receive more than 20 percent of
the available kW in a given year in an Affected Utility's service
territory.
D. Each Affected Utility shall make available all of its retail demand for
competitive generation supply by January 1, 2003.
E. By the date indicated in Subsection R14-2-xxx2, Affected Utilities
shall propose for Commission review and approval how customers will be
selected for participation in the competitive market prior to 2003.
1. Possible selection methods are first-come, first-served,
random selection via a lottery among volunteering consumers,
or designation of geographic areas.
2. The method for selecting customers to participate in the
competitive market must fairly allow participation by a wide
variety of customers of all sizes.
3. All customers who produce or purchase at least 10 percent of
their annual electricity consumption from photovoltaic or
solar thermal resources installed in Arizona after January 1,
1997 shall be selected for participation in the competitive
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market if those customers apply for participation in the
competitive market.
F. Consumers served under existing contracts are eligible to participate
in the competitive market prior to expiration of the existing contract
only if the Affected Utility and the consumer agree.
G. Buy-throughs.
1. Each Affected Utility shall file by the date indicated in
Subsection R14-2-xxx2 a mechanism which enables all classes of
its customers to engage in a Buy-through, including customers
who wish to use the Buy-through mechanism to obtain
electricity from photovoltaic or solar thermal generating
resources.
2. Buy-throughs shall be permitted as early as January 1, 1998.
3. Each Affected Utility shall make at least 5 percent of its
1995 system retail peak demand available for competitive
procurement under this Buy-through mechanism.
4. The Affected Utility shall permit customers to identify
electricity sources which the Affected Utility would obtain on
behalf of the customer and provide to the customer at
unbundled rates described in Subsection R14-2-xxx6, below,
plus the cost of the electricity plus a mark-up on the cost of
electricity not to exceed 15 percent of the cost of the
electricity.
5. By-throughs shall not be considered as meeting the
requirements of Subsections R14-2-xxx4(A), R14-2-xxx4(B), or
R14-2-xxx4(D).
R14-2-xxx5. Competitive Services
A. A properly certificated electric company may offer any of the following
services under bilateral or multilateral contracts with consumers:
1. Distributed energy services at market based rates (serving one
or more consumers located in proximity, and not necessarily
requiring transmission service from others.)
2. Central station generation services at market based rates
(generation serving one or more consumers located at a
distance from consumers and requiring transmission service,
some ancillary services, and possibly distribution service).
3. Combinations of distributed and central station generation
services.
B. A company other than an Affected Utility may provide services described
in Subsection R14-2-xxx6 after filing appropriate tariffs and receiving
Commission approval of those tariffs.
R14-2-xxx6. Services Required To Be Made Available by Affected Utilities
A. Until the Commission determines that competition has been substantially
implemented, each Affected Utility shall make available to all
consumers in its service area, as defined on the date indicated in
Subsection R14-2-xxx2, Standard Offer bundled generation, transmission,
ancillary, distribution, and other necessary services at regulated
rates.
1. An Affected utility may request that the Commission determine
that competition has been substantially implemented to allow
discontinuation of Standard Offer service and shall provide
sufficient documentation to support its request.
2. The Commission may, on its own motion, investigate whether
competition has
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been substantially implemented and whether Standard Offer
service may be discontinued.
B. By the date indicated in Subsection R14-2-xxx2, each Affected Utility
may file proposed tariffs to provide Standard Offer Bundled Service and
such rates shall not become effective until approved by the Commission.
If no such tariffs are filed, rates and services in existence as of the
date in Subsection R14-2-xxx2 shall constitute the Standard Offer.
C. By the date indicated in Subsection R14-2-xxx2, each Affected Utility
shall file Unbundled Service tariffs to provide the services listed
below to all eligible purchasers on a nondiscriminatory basis.
1. Distribution service.
2. Metering and meter reading services.
3. Open access transmission service (as approved by the Federal
Energy Regulatory Commission, if applicable).
4. Ancillary services as defined by the Federal Energy Regulatory
Commission in Order 888 (III FERC Stats. & Regs. P. 31,036,
1996).
5. Information services such as provision of customer information
to other suppliers.
6. Other ancillary services necessary for safe and reliable
system operation.
D. To manage its risks, an Affected Utility may employ reasonable credit
checks, deposit requirements, and advance payment requirements for
Unbundled Services.
E. The Affected Utilities must provide transmission and ancillary services
according to the following guidelines:
1. Services must be provided consistent with applicable tariffs
filed with the Federal Energy Regulatory Commission.
2. Affected Utilities must accept power and energy delivered to
their transmission systems by others and offer wheeling
services comparable to services they provide to themselves.
F. Upon authorization by the customer, an Affected Utility shall release
in a timely and useful manner that customer's load and usage data to a
certificated supplier of services authorized by this Article.
G. Rates for Unbundled Services:
1. The Commission shall review and approve rates for services
listed in Subsections R14-2-xxx6(C) and R14-2-xxx6(D), where
it has jurisdiction, before such services can be offered.
2. Such rates shall reflect the costs of providing the services.
3. Such rates may be downwardly flexible if approved by the
Commission.
H. Companies offering services under this Subsection R14-2-xxx6 shall
provide adequate supporting documentation for their proposed rates.
Where rates are approved by another jurisdiction, such as the Federal
Energy Regulatory Commission, those rates shall be provided to this
Commission.
R14-2-xxx7. Recovery of Stranded Investment of Affected Utilities
A. The Affected Utilities shall take every feasible, cost-effective
measure to mitigate or offset Stranded Investment by means such as
accelerated depreciation of assets,
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expanding wholesale or retail markets, or offering a wider scope of
services for profit, among others.
B. The Commission may allow recovery of unmitigated Stranded Investment by
Affected Utilities.
C. The Affected Utilities may file estimates of Stranded Investment. Such
estimates shall be fully supported by appropriate analyses and by
market transactions undertaken by willing buyers and willing sellers.
D. An Affected Utility may request Commission approval of exit fees,
distribution charges, or other means of recovering Stranded Investment
from customers who reduce or terminate service from the Affected
Utility as a direct result of competition governed by this Article, or
who obtain lower rates from the affected utility as a direct result of
the provisions of this Article.
E. The Commission shall determine for each Affected Utility which files
Stranded Investment data and recovery proposals consistent with this
Article appropriate Stranded Investment recovery mechanisms and
charges. In making its determination, the Commission shall consider at
least the following factors:
1. The impact of Stranded Investment recovery on the
effectiveness of competition.
2. The impact of Stranded Investment recovery on customers of the
Affected Utility who do not participate in the competitive
market.
3. The impact of partial or no recovery of Stranded Investment on
the Affected Utility and its shareholders.
4. The impact of Stranded Investment recovery on prices paid by
consumers who participate in the competitive market.
5. The degree to which the Affected Utility has mitigated or
offset Stranded Investment.
6. The degree to which some assets have values in excess of their
book values.
7. Appropriate treatment of negative Stranded Investment.
8. The time period over which such Stranded Investment charges
may be recovered. The Commission shall limit the application
of such charges to a specified time period.
9. The ease of determining the amount of Stranded Investment.
10. The amount of electricity generated by renewable generating
resources owned by the Affected Utility.
F. Stranded investment may only be recovered from customers served
competitively under the provisions of this Article.
G. The Commission may order a utility to file estimates of Stranded
Investment and mechanisms to recover or, if negative, to refund
Stranded Investment.
H. The Commission may order regular revisions to estimates of the
magnitude of Stranded Investment.
I. In no event shall recovery of Stranded Investment occur after December
31, 2004.
R14-2-xxx8. System Benefits Charges
A. By the date indicated in Subsection R14-2-xxx2, each Affected Utility
shall file for Commission review rates or related mechanisms to recover
the costs of System Benefits
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from all consumers located in the Affected Utility's service area who
participate in the competitive market.
B. Each Affected Utility shall provide adequate supporting documentation
for its proposed rates for System Benefits.
C. An Affected Utility shall recover the costs of System Benefits only
upon approval by the Commission of the recovery charge and mechanism.
R14-2-xxx9. Solar Portfolio Standard
A. Starting on January 1, 1999, any company selling electricity under the
provisions of this Article must derive at least 1 percent of the total
retail energy sold competitively from new solar resources, whether that
solar energy is purchased or generated by the seller. Solar resources
include photovoltaic resources and solar thermal resources that
generate electricity. New solar resources are those installed on or
after January 1, 1997.
B. Starting on January 1, 2002, any company selling electricity under the
provisions of this Article must derive at least 2 percent of the total
retail energy sold competitively from new solar resources, whether that
solar energy is purchased or generated by the seller. Solar resources
include photovoltaic resources and solar thermal resources that
generate electricity. New solar resources are those installed on or
after January 1, 1997.
C. Any company certificated under the provisions of this Article shall be
able to credit two times the electric energy generated before January
1, 1999 using photovoltaics or solar thermal resources installed on or
after January 1, 1997 in Arizona to the electric energy requirements of
Subsections R14-2-xxx9(A) or R14-2-xxx9(B).
D. Companies selling electricity under the provisions of this Article
shall provide reports on sales and solar power as required in this
Article, and the Commission may conduct necessary monitoring to ensure
the accuracy of these data.
E. If a company selling electricity under the provisions of this Article
fails to meet the requirement in Subsection R14-2-xxx9(A) or Subsection
R14-2-xxx9(B) in any year, the Commission may impose a penalty on that
company up to $0.30 per kWh for deficiencies in the provision of solar
energy. In addition, if the provision of solar energy is consistently
deficient, the Commission may void a company's contracts negotiated
under this Article.
F. The solar portfolio standard described in this Subsection is in
addition to renewable resource goals for Affected Utilities established
in Decision No. 58643.
R14-2-xxx10. Pooling of Generation and Centralized Dispatch of Generation or
Transmission
A. The Commission shall conduct an inquiry into pooling and dispatch
arrangements for transmission and generation of electricity.
B. The Commission may establish a pool for generation or centralized
dispatch of generation or transmission by an independent system
operator or by other means.
C. The Commission may work with other entities to establish pooling or
centralized dispatch of generation or transmission.
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R14-2-xxx11. In-State Reciprocity
The service territories of Arizona electric utilities which are not Affected
Utilities shall not be open to competition under the provisions of this Article,
nor shall Arizona electric utilities which are not Affected Utilities be able to
compete for sales in the service territories of the Affected Utilities. However,
an Arizona electric utility which is not an Affected Utility may voluntarily
participate under the provisions of this Article if it makes its service
territory available for competing sellers, if it agrees to all of the
requirements of this Article, and if it obtains an appropriate Certificate of
Convenience and Necessity.
R14-2-xxx12. Rates
A. Market based rates for competitively provided services shall be deemed
to be just and reasonable.
B. Each company selling services under this Article shall have on file
with the Commission tariffs describing such services and maximum rates
for those services, but the services may not be provided until the
Commission has approved the tariffs.
C. For competitive services provided under standard contracts (that is,
non-customized rates, terms, and conditions), a company governed by
this Article shall file in a timely manner with the Director of the
Utilities Division current price lists, terms and conditions consistent
with approved tariffs.
D. Competitively negotiated contracts customized to individual customers
which comply with approved tariffs do not require further Commission
approval. However, all such contracts must be filed with the Director
of the Utilities Division at least 30 days prior to becoming effective;
if a contract does not comply with the provisions of this Article it
shall not become effective without a Commission order.
E. An Affected Utility or company holding a Certificate pursuant to this
Article may price its competitive services, as defined in Subsection
R14-2-xxx5, at or below the maximum rates specified in its filed
tariff, provided that the price is not less than the marginal cost of
providing the service.
F. Requests for changes in maximum rates or changes in terms and
conditions of previously approved tariffs may be filed. Such changes
become effective only upon Commission approval.
R14-2-xxx13. Service Quality, Consumer Protection, Safety, and Billing
Requirements
A. All customer bill complaints concerning services rendered under this
Article shall be governed by the provisions of Subsections R14-2-212(B)
and R14-2-212(C).
B. All customer service complaints concerning services rendered under this
Article shall be governed by the provisions of Subsections R14-2-212(A)
and R14-2-212(C).
C. Establishment of competitive service to consumers whose estimated
demand is less than 1,000 kilowatts shall be governed by the provisions
of Subsections R14-2-203(A) and R14-2-203(B).
D. No consumer shall be deemed to have changed suppliers of any service
authorized in this Article (including changes from supply by the
Affected Utility to another supplier) without written authorization by
the consumer for service from the new supplier. If a consumer is
switched to a different ("new") supplier without such written
authorization,
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the new supplier shall cause service by the previous supplier to be
resumed and the new supplier shall bear all costs associated with
switching the consumer back to the previous supplier.
E. Each company providing service governed by this Article shall be
responsible for maintaining in safe operating condition all equipment
owned by and under the control of that company that is used to provide
electric service to its customers.
F. Responsibilities of suppliers of distribution service and of customers
receiving distribution service are governed by Subsection R14-2-208.
G. Each company providing service governed by this Article shall be
responsible for meeting applicable reliability standards and shall work
cooperatively with other companies with whom it has interconnections,
directly or indirectly, to ensure safe, reliable electric service.
Construction standards and safety for each company providing service
under this Article are governed by Subsection R14-2-208(F).
H. Termination of service.
1. Termination of service prior to the termination date specified in
the contract with the consumer is governed by Subsection R14-2-211.
2. In addition to the above requirement, any provider of service to
consumers shall provide at least 14 days notice to all of its affected
consumers if it is no longer obtaining generation, transmission,
distribution, or ancillary services necessitating that the consumer
obtain service from another supplier of generation, transmission,
distribution, or ancillary services.
I. All companies providing service under this Article shall provide
accident reports as provided in Subsection R14-2-101.
J. A company providing firm electric service governed by this Article
shall make reasonable efforts to reestablish service within the
shortest possible time when service interruptions occur and shall work
cooperatively with other companies to ensure timely restoration of
service where facilities are not under the control of the company.
K. Each company providing service governed by this Article shall bill
monthly for services rendered. The following minimum information must
be provided on all customer bills, whether the bill is rendered by the
company or by another party on behalf of the company:
1. The amount of each service provided.
2. The monthly charges for each service provided.
3. The company's toll free telephone numbers for billing,
service, and safety inquiries and the telephone number of the
Consumer Services Section of the Arizona Corporation
Commission Utilities Division.
4. The amount or percentage rate of any privilege, sales use, or
other taxes that are passed on to the customer as part of the
charge for the service provided.
5. The date on which the bill becomes delinquent.
L. A company providing service governed by this Article may include in its
tariffs a fee for each instance where a customer tenders payment with
an insufficient funds check.
M. A company providing service governed by this Article may include in its
tariffs a late payment penalty which may be applied to delinquent
bills. The amount of the late payment penalty shall be stated on the
customer's bill.
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N. Working group on system reliability and safety:
1. The Commission shall establish, by separate order, a working
group to monitor and review system reliability and safety.
a. The working group may establish technical advisory
panels to assist it.
b. The working group shall commence activities by the
date indicated in Subsection R14-2-xxx2.
c. Members of the working group shall include
representatives of Staff, consumers, utilities, and
other suppliers.
d. The working group shall be chaired by the Director of
the Utilities Division of the Commission or by his or
her designee.
2. All companies governed by this Article shall cooperate and
participate in any investigation conducted by the working
group, including provision of data reasonably related to
system reliability or safety.
3. The working group shall report to the Commission on system
reliability and safety annually, and shall make
recommendations to the Commission regarding improvements to
reliability or safety, with the first report due no later than
March 31, 1998.
O. Affected Utilities and other parties offering service under the
provisions of this Article shall comply with applicable reliability
standards and practices established by the Western Systems Coordinating
Council and the North American Electric Reliability Council or
successor organizations.
P. Affected Utilities and other certificated companies shall provide
notification and informational materials to consumers about competition
and consumer choices as ordered by the Commission.
R14-2-xxx14. Reporting Requirements
A. Reports covering the following items shall be submitted to the Director
of the Utilities Division by Affected Utilities and all companies
granted a Certificate of Convenience and Necessity pursuant to this
Article. These reports shall include the following information
pertaining to competitive service offerings, Buy-throughs, Unbundled
Services, and Standard Offer services:
1. Type of services offered.
2. kW and kWh of sales, disaggregated by customer class (e.g.,
residential, commercial, industrial).
3. Solar energy sales (kWh) and sources.
4. Revenues from sales by customer class (e.g., residential,
commercial, industrial).
5. Number of customers disaggregated by size of contract load
(0-99 kW, 100 kW - 499 kW, 500
kW-999kW, 1 MW - 9.999 MW, 10 MW - 49.999 MW, and 50 MW and
above).
6. Number of customers disaggregated by class (e.g.,
aggregators, residential commercial, industrial).
7. kWh sales and revenues disaggregated by term of the contract
(less than one year, one to four years, longer than four
years), and by type of service (for example, firm,
interruptible, other).
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8. Amount of and revenues from each service provided under
Subsection R14-2-xxx5, and, if applicable, Subsection
R14-2-xxx6.
9. Value of all Arizona specific assets and accumulated
depreciation.
10. Other data requested by Staff or the Commission.
B. Reporting Schedule:
1. For the period through December 31, 2003, semi-annual reports
shall be due on April 1 (covering the previous period of July
through December) and October 1 (covering the previous period
of January through June). The first such report shall cover
the period January 1 through June 30, 1998.
2. For the period after December 31, 2003, annual reports shall
be due on April 1 (covering the previous period of January
through December). The first such report shall cover the
period January 1 through December 31, 2004.
C. The information listed above may be provided on a confidential basis if
reasonable to do so. However, Staff or the Commission may issue reports
with aggregate statistics based on confidential information that do not
disclose data pertaining to a particular seller or purchases by a
particular buyer.
D. Any company governed by this Article which fails to file the above data
in a timely manner may be subject to penalty imposed by the Commission
or may have its Certificate rescinded by the Commission.
E. Any company holding a Certificate pursuant to this Article shall report
to the Director of the Utilities Division the discontinuation of any
competitive tariff as soon as practicable after the decision to
discontinue offering service is made.
F. In addition to the above reporting requirements, companies governed by
this Article shall participate in Commission workshops or other forums
whose purpose is to evaluate competition or assess market issues.
G. Reports filed under the provisions of this Subsection R14-2-xxx14 shall
be submitted in written format and in electronic format. Companies
shall coordinate with the Commission Staff on formats.
R14-2-xxx15. Administrative Requirements
A. Each company governed by this Article shall file with the Director of
the Utilities Division a written statement containing the name,
business address, and telephone numbers of at least one officer, agent,
or employee responsible for the general management of its Arizona
operations. This information shall be updated, in writing, within five
days from the date of any change.
B. Any company certificated under this Article may propose additional
services at any time by filing a proposed tariff with the Commission
describing the service, maximum rates, terms and conditions. The
service may not be provided until the Commission has approved the
tariff.
C. Contracts filed pursuant to this Article shall not be open to public
inspection or made public except on order of the Commission, or by the
Commission or a Commissioner in the course of a hearing or proceeding.
D. Each company governed by this Article shall keep general and subsidiary
accounting books and records reflecting the cost of its Arizona
properties, assets and liabilities,
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operating income and expenses, and all other accounting and statistical
data which reflect complete, authentic, and accurate information
regarding its properties and operations. These records shall be
organized and maintained in such as way as to provide an audit trail
through all segments of the company's accounting system.
E. Each company governed by this Article shall maintain its books and
records in accordance with Generally Accepted Accounting Principles as
promulgated by the Financial Accounting Standards Board and its
successors, as amended.
F. All companies governed by this Article shall immediately make
available, at the time and place the Commission may designate, any
accounting and related records pertinent to the subject matter of this
Article that the Commission may request.
G. All companies governed by this Article shall file with the Director of
the Utilities Division a copy of all annual reports required by the
Federal Energy Regulatory Commission or by the Securities and Exchange
Commission.
H. The Commission may consider variations or exemptions from the terms or
requirements of any of the rules in this Article upon the application
of an affected party. The application must set forth the reasons why
the public interest will be served by the variation or exemption from
the Commission rules and regulations. Any variation or exemption
granted shall require an order of the Commission. Where a conflict
exists between these rules and an approved tariff or order of the
Commission, the provisions of the approved tariff or order of the
Commission shall apply.
I. The Commission may develop procedures for resolving disputes regarding
implementation of retail electric competition.
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