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FPSC Approves FCG’s Proposed Transportation Balancing Charge And Tariff
FPSC issued an order approving FCG’s proposed transportation balancing charge and associated tariff. The order also adopted Staff’s recommendation that FCG “incorporate actual revenues received from the balancing charge as a credit in the monthly PGA filings and in the annual final actual PGA true-up filing.”
As background, the petition by Florida City Gas requesting approval to implement a Tariff Rider “E” Transportation Balancing Charge “to allocate certain capacity costs incurred on behalf of Transportation Customers to balance differences between their· monthly gas nominations and consumption…FCG submits that the proposed Balancing Charge will more fairly allocate existing costs between its Sales Customers and Transportation Customers and better align with the rate-making principle of cost causation.”
According to FCG there was an average monthly system-wide total imbalance for third-party suppliers of 9.63% for calendar year 2021 and 10.07% for calendar year 2022. FCG’s proposed new Balancing Charge would allocate an incremental portion of the capacity and storage costs incurred by the utility and currently recovered from sales customers in the Purchased Gas Adjustment factor, instead from transportation customers.
FCG’s calculations result in an expected Balancing Charge of $0.00780/therm to be applied to the monthly bill for each current and future transportation customer.
2023-0110 (09/26/2023)
(Petition for approval of tariff modifications to implement transportation balancing charge rider, by Florida City Gas.)
