2011Report on. Universal Service Programs & Collections Performance. Pennsylvania Public Utility Commission. Bureau of Consumer Services
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1 2011Report on Universal Service Programs & Collections Performance Pennsylvania Electric Distribution & Natural Gas Distribution Companies Pennsylvania Public Utility Commission Bureau of Consumer Services Pennsylvania Public Utility Commission Commonwealth Keystone Building P.O. Box 3265 Harrisburg, PA
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9 Number of Residential Electric Customers 8
10 Number of Residential Natural Gas Customers Number of Confirmed Low-Income Electric Customers* Number of Confirmed Low-Income Natural Gas Customers* 9
11 Number of Estimated Low-Income Electric Customers* Number of Estimated Low-Income Natural Gas Customers* *Low-income is defined as household income at or below 150 percent of the Federal Poverty Level 10
12 Terminations and Reconnections - Residential Electric Customers Terminations and Reconnections - Residential Natural Gas Customers Terminations and Reconnections - Confirmed Low-Income Electric Customers* 11
13 Terminations and Reconnections - Confirmed Low-Income Natural Gas Customers* *Low-income is defined as household income at or below 150 percent of the Federal Poverty Level 12
14 Number of Residential Electric Customers in Debt *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. 13
15 Number of Residential Natural Gas Customers in Debt *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. 14
16 Percent of Total Residential Electric Customers in Debt *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. 15
17 Percent of Total Residential Natural Gas Customers in Debt *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. 16
18 Dollars in Debt - Residential Electric Customers *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. Dollars in Debt - Residential Natural Gas Customers *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. 17
19 Dollars in Debt - Confirmed Low-Income Electric Customers *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. Dollars in Debt- Confirmed Low-Income Natural Gas Customers *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. 18
20 Percent of Debt on an Agreement - Residential Electric Customers *See Appendix 2 for an explanation of the different methods for determining when an account is overdue and Appendix 3 for the different methods for determining when an account is removed from active status after termination of service or discontinuance of service. Percent of Debt on an Agreement - Residential Natural Gas Customers *See Appendix 2 for an explanation of the different methods for determining when an account is overdue and Appendix 3 for the different methods for determining when an account is removed from active status after termination of service or discontinuance of service. 19
21 Average Arrearage Residential Electric Customers *See Appendix 2 for an explanation of the different methods for determining when an account is overdue and Appendix 3 for the different methods for determining when an account is removed from active status after termination of service or discontinuance of service. Average Arrearage - Residential Natural Gas Customers *See Appendix 2 for an explanation of the different methods for determining when an account is overdue and Appendix 3 for the different methods for determining when an account is removed from active status after termination of service or discontinuance of service. 20
22 Electric Payment Agreements Natural Gas Payment Agreements 21
23 Gross Write-Offs - Residential Electric Customers *Does not include CAP Credits or Arrearage Forgiveness Gross Write-Offs - Residential Natural Gas Customers *Does not include CAP Credits or Arrearage Forgiveness. 22
24 Gross Write-Offs - Confirmed Low-Income Electric Customers *Does not include CAP Credits or Arrearage Forgiveness Gross Write-Offs - Confirmed Low-Income Natural Gas Customers *Does not include CAP Credits or Arrearage Forgiveness 23
25 Gross Write-Offs Ratio - Residential Electric Customers *Does not include CAP Credits or Arrearage Forgiveness. Gross Write-Offs Ratio - Residential Natural Gas Customers *Does not include CAP Credits or Arrearage Forgiveness. 24
26 Gross Write-Offs Ratio - Confirmed Low-Income Electric Customers *Does not include CAP Credits or Arrearage Forgiveness. Gross Write-Offs Ratio - Confirmed Low-Income Natural Gas Customers *Does not include CAP Credits or Arrearage Forgiveness. 25
27 Annual Electric Collection Operating Expenses Annual Natural Gas Collection Operating Expenses 26
28 Terminations - Residential Electric Customers Terminations - Residential Natural Gas Customers 27
29 Number of Residential Electric Customers in Debt *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. Number of Residential Natural Gas Customers in Debt *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. 28
30 Dollars in Debt - Residential Electric Customers *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. Dollars in Debt - Residential Natural Gas Customers *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. 29
31 Gross Write-Offs - Residential Electric Customers *Does not include CAP Credits or Arrearage Forgiveness. Gross Write-Offs - Residential Natural Gas Customers *Does not include CAP Credits or Arrearage Forgiveness. 30
32 Gross Write-Offs Ratio - Residential Electric Customers *Does not include CAP Credits or Arrearage Forgiveness. Gross Write-Offs Ratio - Residential Natural Gas Customers *Does not include CAP Credits or Arrearage Forgiveness. 31
33 Percent of Revenues (Billings) in Debt - Residential Electric Customers Percent of Revenues (Billings) in Debt - Residential Natural Gas Customers 32
34 33
35 Participants in Universal Service Programs Average Household Income Summary for All Electric Customers Participants in Universal Service Programs Average Household Income Summary for All Natural Gas Customers 34
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37 LIURP Spending - Electric Utilities *Includes carryover of unspent funds. LIURP Spending - Natural Gas Utilities *Includes carryover of unspent funds. 36
38 LIURP Electric Production *Baseload jobs contain very few or no heating or water heating program measures. LIURP Natural Gas Production 37
39 LIURP Electric Job Costs LIURP Natural Gas Job Costs 38
40 LIURP Energy Savings and Bill Reductions 39
41 CAP Participation - Electric Utilities CAP Participation - Natural Gas Utilities Weighted Avg. is based on industry totals and does not represent an average of the participation rates shown in the table. 40
42 Average Monthly CAP Electric Bill 41
43 Average Monthly Natural Gas CAP Bill Average Annual Electric CAP Credits Average Annual Natural Gas CAP Credits 42
44 Average Annual Electric Utilities Arrearage Forgiveness Average Annual Natural Gas Utilities Arrearage Forgiveness 43
45 CAP Electric Gross Costs 44
46 CAP Natural Gas Gross Costs 45
47 46
48 2011 Electric CARES Benefits *Met-Ed, Penelec and Penn Power enroll and monitor all CARES participants in CAP rather than separately monitoring these accounts. PPL includes the costs of CARES in its OnTrack costs. The CARES representatives in each of these companies perform the functions of both CAP and CARES. **Total LIHEAP grants include both LIHEAP cash and crisis grants. Typically, customers who receive crisis grants also receive cash grants Natural Gas CARES Benefits *Total LIHEAP grants include both LIHEAP cash and crisis grants. Typically, customers who receive crisis grants also receive cash grants. Reflects LIHEAP cash, crisis and supplemental grants 47
49 Electric Hardship Fund Contributions 48
50 Natural Gas Hardship Fund Contributions *UGI Gas ratepayer contributions include a $109,632 contribution from Tennessee Gas Pipeline Company Settlement at Docket P entered 2/1/10. In the 2010 report, the Commission included $76,239 from Tennessee as a ratepayer contribution. For the averate ratepayer contribution per customer comparison, this amount ($109,632) is not included. Only residential ratepayer contributions are included in the comparison. **UGI Penn Natural ratepayer contributions include a $599,352 contribution from Tennessee Gas Pipeline Company Settlement at Docket P entered 2/1/10. In the 2010 report, the Commission included $427,170 from Tennessee as a ratepayer contribution. For the average ratepayer contribution per customer comparison, this amount ($599,352) is not incuded. Only residential ratepayer contributions are included in the comparison. 49
51 Electric Utility Hardship Fund Grant Benefits Natural Gas Utility Hardship Fund Grant Benefits 50
52 51
53 Number of Confirmed Low-Income Electric Customers in Debt *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. Number of Confirmed Low-Income Natural Gas Customers in Debt *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. 52
54 Percent of Confirmed Low-Income Electric Customers in Debt *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. Percent of Confirmed Low-Income Natural Gas Customers in Debt *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. 53
55 Percent of Debt on an Agreement - Confirmed Low-Income Electric Customers *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. Percent of Debt on an Agreement - Confirmed Low-Income Natural Gas Customers *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. 54
56 Average Arrearage - Confirmed Low-Income Electric Customers *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. Average Arrearage - Confirmed Low-Income Natural Gas Customers *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. 55
57 Residential Revenues (Billings) - Electric Customers Residential Revenues (Billings) - Natural Gas Customers Residential Revenues (Billings) - Confirmed Low-Income Electric Customers 56
58 Residential Revenues (Billings) - Confirmed Low-Income Natural Gas Customers Terminations - Residential Electric Customers Terminations - Residential Natural Gas Customers 57
59 Number of Residential Electric Customers in Debt *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. Number of Residential Natural Gas Customers in Debt *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. 58
60 Dollars in Debt - Residential Electric Customers *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. Dollars in Debt - Residential Natural Gas Customers *See Appendix 2 for a chart showing the different methods companies use to determine overdue accounts and how they compare to BCS s preferred method. See Appendix 3 for the methods companies use to determine when an account is removed from active status after termination of service or discontinuance of service. 59
61 Gross Write-Offs Ratio - Residential Electric Customers *Does not include CAP Credits or Arrearage Forgiveness. Gross Write-Offs Ratio - Residential Natural Gas Customers *Does not include CAP Credits or Arrearage Forgiveness. 60
62 Percent of Revenues (Billings) in Debt - Residential Electric Customers Percent of Revenues (Billings) in Debt - Residential Natural Gas Customers 61
63 *BCS considers Day Zero to be the bill due date and the applicable regulations require companies to report arrearages beginning at 30 days overdue. **Bill Rendition Date is one day prior to the Bill Transmittal Date. 62
64 63
65 Income reflects upper limit of the poverty guideline for each column. *Effective: 1/26/12. SOURCE: Federal Register, Vol. 77, No. 17, January 26, 2012, pp
66 Source of Income for Electric Universal Service Participants Source of Income for Natural Gas Universal Service Participants 65
67 Percent of Electric Total CAP Spending by CAP Component Percent of Natural Gas Total CAP Spending by CAP Component 66
68 67
69 4 1 Riders and USEC/USFM Surcharge are charges for CAP costs, in addition to base rates, that are adjusted quarterly or annually. 2 Universal Service costs include CAP costs, LIURP costs and CARES costs. 3 CAP costs are assessed in following manner: residential (75 percent), commercial (20 percent), industrial (2 percent), municipal service (2 percent) and PHA (Philadelphia Housing Authority (1 percent). 4 PGW universal service costs do not include Senior Citizen Discount (SCD) costs. Because income is not an eligibility criterion, the SCD does not meet the definition of universal service. 68
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