BLAIR LEE III, Acting Governor

1167

(D)    ALL FUEL RATE ADJUSTMENT INCREASES ADJUSTMENTS AS
PRESENTLY APPROVED BY THE COMMISSION SHALL FULLY TERMINATE
EFFECTIVE NOVEMBER OCTOBER 1, 1978 OR UPON ISSUANCE OF A
FINAL ORDER BY THE COMMISSION PURSUANT TO THIS SECTION,
WHICHEVER SHALL FIRST OCCUR.

(E)    AN ELECTRIC PUBLIC UTILITY HAVING A DECREASE IN

ITS COST OF FUEL SHALL PROMPTLY FILE AN APPLICATION TO

DECREASE ITS FUEL RATE CHARGES. THE FUEL RATE MAY BE

ADJUSTED IN ACCORDANCE WITH THIS SECTION ONLY IF THE ACTUAL

SUM OF THE COMPONENTS OF THE CURRENTLY CALCULATED ACTUAL

FUEL RATE IS MORE THAN 5 PERCENT ABOVE OR BELOW THE SUM OF

THE COMPONENTS OF THE FUEL RATE THEN IN EFFECT. AN ELECTRIC
PUBLIC UTILITY COMPANY HAVING A DECREASE OF MORE THAN 5
PERCENT SHALL PROMPTLY FILE AN APPLICATION TO ADJUST ITS
FUEL RATE DOWNWARD. TO THE EXTENT THAT ACTUAL ACCUMULATED
FUEL COSTS ARE NOT RECOVERED UNDER THIS SECTION, THEY MAY BE

DEFERRED AS AN OPERATING "EXPENSE AND BE RECOVERED IN ANY

BASE RATE PROCEEDING IF THE COMMISSION FINDS THAT RECOVERY

IS THE COSTS WERE JUSTIFIED AND RECOVERY OF THE COSTS IS

CONSISTENT WITH THE PROVISIONS__OF __THIS ARTICLE GOVERNING

RATES.

(F)    THE ISSUES TO BE DETERMINED, AND UPON WHICH THE
COMMISSION SHALL MAKE SPECIFIC FINDINGS OF FACT AND

CONCLUSIONS BASED THEREON, SHALL BE WHETHER THE APPLICANT

AS REASONABLY TAKEN INTO ACCOUNT IN ITS PROPOSED CHARGES,

SOLELY THE CHANGES IN THE COST OF FUEL AND WHETHER THE

APPLICANT HAS BEEN REASONABLE IN ITS FUEL PROCUREMENT AND

PURCHASING PRACTICES.:

(1) ONLY CHANGES IN THE ACTUAL COSTS OF THE

COMPONENTS OF THE FUEL RATE ARE INCLUDED IN THE PROPOSED

CHANGE;

(2) THE APPLICANT HAS USED THE MOST ECONOMICAL
MIX OF ALL TYPES OF GENERATION AND PURCHASE;

(3) THE APPLICANT HAS MADE EVERY REASONABLE

EFFORT TO MINIMIZE FUEL COSTS AND FOLLOWED COMPETITIVE

PROCUREMENT PRACTICES;

(4)          THE APPLICANT HAS MAINTAINED THE PRODUCTIVE

CAPACITY OF ALL ITS GENERATING PLANTS AT A REASONABLE LEVEL.

(G) THE COMMISSION MAY DISALLOW SUCH INCREASED___COSTS

AS IT FINDS WERE A RESULT OF THE APPLICANT'S FAILURE TO

COMPLY WITH THE REQUIREMENTS OF THIS SUBSECTION SECTION.
UNLESS CAUSE BE SHOWN TO THE CONTRARY.

(G) (H)            THE APPLICANT'S PROPOSED INITIAL DIRECT

TESTIMONY AND EXHIBITS SHALL BE FILED AT THE SAME TIME THE
APPLICATION IS FILED.

(H) (I) THE APPLICANT SHALL HAVE THE BURDEN OF

PROVING THAT IT HAS COMPLIED WITH THE REQUIREMENT
REQUIREMENTS OF THIS SECTION.