Attached files
| file | filename |
|---|---|
| EX-99.1 - EXHIBIT 99.1 - VECTREN CORP | ex99_1.htm |
| 8-K - VVC VUHI 8K - VECTREN CORP | vvc_vuhi8k.htm |
| EX-99.3 - EXHIBIT 99.3 - VECTREN CORP | ex99_3.htm |
Exhibit 99.2
Key Elements of Vectren South - Electric Rate Case Order Issued April 27, 2011:
Overall Revenue Increase Authorized: $28.6 million
Overall Percent Increase: Approximately 5%
Authorized Return on Equity (ROE): 10.4%
Weighted Cost of Long Term Debt: 6.25%
Overall Rate of Return: 7.29%
Capital Structure: 44% Debt
43% Equity
13% Cost Free/Other
Rate Base: $1,295.6 million
Other Key Findings:
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Post in service carrying cost and depreciation deferral accounting treatment authorized for power production efficiency projects known as Dense Pack projects estimated at $35 million.
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Continued symmetrical 50/50 sharing of wholesale power margins above and below new base level of $7.5 million which had previously been $10.5 million.
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Implementation of decoupling rate design denied.
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Note that separate from this case, a settlement has been reached with the Office of Utility Consumer Counselor on implementation of energy efficiency programs along with lost margin recovery for large customers and it also provides for a subsequent filing to request lost margin recovery for small customers in this situation where decoupling was not approved.
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Current coal contracts remain effective and going forward a review process of future procurement decisions will be initiated.
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