Founded in 1852 by Sidney Davy Miller PAUL M. COLLINS TEL (517) 483-4908 FAX (517) 374-6304 E-MAIL collinsp@millercanfield.com Miller, Canfield, Paddock and Stone, P.L.C. One Michigan Avenue, Suite 900 Lansing, Michigan 48933 TEL (517) 487-2070 FAX (517) 374-6304 www.millercanfield.com MICHIGAN: Ann Arbor Detroit Grand Rapids Kalamazoo Lansing Troy FLORIDA: Tampa ILLINOIS: Chicago NEW YORK: New York OHIO: Cincinnati CANADA: Toronto Windsor CHINA: Shanghai MEXICO: Monterrey POLAND: Gdynia Warsaw Wrocław February 1, 2018 Ms. Kavita Kale Executive Secretary 7109 W. Saginaw Hwy., 3 rd Floor Re: Michigan Gas Utilities Corporation 2016-17 GCR Reconciliation MPSC Dear Ms. Kale: Enclosed for electronic filing is Michigan Gas Utilities Corporation s Revised Exhibit A-16 (GWS-1) in the case mentioned above. Also enclosed is the Proof of Service. If you should have any questions, please kindly advise. Very truly yours, Miller, Canfield, Paddock and Stone, P.L.C. By: Paul M. Collins cc: David J. Tyler Koby Bailey Ted Eidukas Russell Laursen Mary Wolter Parties of Record
MICHIGAN PUBLIC SERVICE COMMISSION MICHIGAN GAS UTILITIES CORPORATION Revised Exhibit A-16 (GWS-1) (02/01/18), page 1 of 2 2016/2017 GCR Reconciliation Report Witness: Gary W. Simons Monthly GCR Costs Over(Under)-Recovery Without 12 MONTHS Unbilled Sales Line DESCRIPTION APRIL MAY JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER JANUARY FEBRUARY MARCH ENDED Line Adjustment Difference (a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) (l) (m) (n) (o) (p) Source of Gas Volumes (Mcf @ 14.65 psia Dry) 1 Purchased and Produced 1,145,717 899,511 874,674 985,910 1,084,458 740,038 982,711 902,143 1,325,927 1,646,928 1,559,788 1,550,855 13,698,659 1 13,897,386 (198,727) 2 To Storage (361,309) (449,275) (622,244) (660,555) (705,812) (357,821) (321,407) (130,542) (95,316) (31,614) (182,697) (63,198) (3,981,791) 2 (3,981,791) - 3 From Storage 512,941 110,568 13,210 31,263 21,663 13,506 87,049 591,851 1,419,072 1,174,538 678,933 926,326 5,580,918 3 5,580,918-4 Total Supply 1,297,349 560,804 265,641 356,617 400,308 395,722 748,352 1,363,452 2,649,683 2,789,852 2,056,024 2,413,983 15,297,786 4 15,496,513 (198,727) Less: Volumes For 5 Company Use 2,941 2,493 1,197 143 2,162 175 394 1,408 2,820 6,513 4,790 6,200 31,235 5 31,235-6 Unbilled Sales Adjustment (354,080) (320,838) (126,759) - - - - - - - - - (801,677) 6 - (801,677) 7 Lost & Unaccounted For Gas 25,211 (203,054) (50,830) 30,869 87,873 92,342 (45,455) 136,729 11,105 69,887 61,697 137,775 354,148 7 568,108 (213,960) 8 Total GCR Supply 1,623,277 1,082,203 442,034 325,605 310,274 303,205 793,413 1,225,315 2,635,757 2,713,452 1,989,537 2,270,008 15,714,080 8 14,897,170 816,910 Sales Volumes (Mcf @ 14.65 psia Dry) 9 GCR Rate Schedule Sales (Billed) 1,718,634 1,107,017 672,627 292,912 177,384 217,260 340,970 907,258 1,779,028 2,998,919 2,491,363 2,185,600 14,888,974 9 14,888,974-10 Unbilled - Prior Month (350,764) (255,407) (230,592) 2 (32,691) (165,581) (251,527) (703,970) (1,022,026) (1,878,755) (1,593,288) (1,091,462) (7,576,062) 10 919,321 (8,495,383) 11 Unbilled - Current Month 255,407 230,592 (2) 32,691 165,581 251,527 703,970 1,022,026 1,878,755 1,593,288 1,091,462 1,175,870 8,401,168 11 (911,125) 9,312,293 12 Total GCR Sales 1,623,277 1,082,203 442,034 325,605 310,274 303,205 793,413 1,225,315 2,635,757 2,713,452 1,989,537 2,270,008 15,714,080 12 14,897,170 816,910 13 Gas Choice volumes (Billed) 358,426 226,383 149,211 78,827 (965) 47,739 74,692 185,345 395,553 595,701 522,076 448,245 3,081,232 13 3,081,232-14 Unbilled - Prior Month (73,088) (53,266) (47,156) - (8,798) 901 (55,268) (154,210) (208,791) (417,726) (316,489) (228,721) (1,562,611) 14 74,255 (1,636,866) 15 Unbilled - Current Month 53,266 47,156-8,798 (901) 55,268 154,210 208,791 417,726 316,489 228,721 241,160 1,730,682 15 (73,724) 1,804,406 16 Total Choice Volumes 338,604 220,273 102,054 87,625 (10,663) 103,907 173,635 239,925 604,488 494,464 434,308 460,684 3,249,304 16 3,081,763 167,540 GCR Cost of Gas Sold ($) 17 Purchased and Produced $ 3,356,851 $ 2,773,876 $ 3,114,614 $ 3,811,797 $ 3,869,136 $ 2,460,550 $ 3,445,807 $ 4,503,385 $ 5,293,602 $ 8,325,720 $ 7,332,848 $ 6,187,911 $ 54,476,098 17 $ 54,997,147 $ (521,049) 18 To Storage (751,499) (976,541) (1,400,732) (1,966,022) (1,923,922) (988,131) (960,120) (359,620) (329,085) (120,235) (637,884) (175,653) (10,589,444) 18 (10,589,444) 0 19 From Storage 1,505,923 309,226 33,360 81,300 56,866 35,887 233,321 1,692,105 4,163,621 3,380,370 1,959,446 2,696,175 16,147,601 19 16,147,601 0 20 Total Cost of Gas Sold 4,111,275 2,106,561 1,747,241 1,927,075 2,002,081 1,508,306 2,719,008 5,835,870 9,128,139 11,585,855 8,654,410 8,708,433 60,034,254 20 60,555,304 (521,049) Less: Cost of Gas For 21 Company Use 11,540 9,782 4,696 561 8,482 687 1,547 5,527 11,068 25,559 18,797 24,330 122,576 21 122,056 520 22 Lost and Unaccounted For Gas 98,937 (796,859) (199,477) 121,143 344,845 362,385 (178,384) 536,574 43,580 274,262 242,121 540,680 1,389,808 22 2,219,981 (830,173) 23 GCR Booked Cost Of Gas Sold 4,000,798 2,893,638 1,942,022 1,805,371 1,648,754 1,145,234 2,895,845 5,293,769 9,073,491 11,286,034 8,393,492 8,143,423 58,521,870 23 58,213,267 308,604 24 Less: Reservation Costs 1,607,052 854,621 690,484 705,157 688,528 681,068 687,221 481,498 1,538,221 1,665,414 1,672,182 1,668,304 12,939,751 24 12,939,751 0 25 Net GCR Booked Cost Of Gas Sold 2,393,746 2,039,018 1,251,538 1,100,215 960,226 464,166 2,208,624 4,812,271 7,535,270 9,620,619 6,721,311 6,475,118 45,582,121 25 45,273,516 308,604 GCR Revenues ($) 26 Maximum GCR Factor Permitted ($/Mcf) $ 3.3249 $ 3.3249 $ 3.3249 $ 3.4968 $ 3.5944 $ 3.5944 $ 3.5166 $ 3.6205 $ 3.4646 $ 3.6205 $ 3.6205 $ 3.6205 $ 4.1507 26 27 GCR Factor Billed To Customers ($/Mcf) 2.6946 2.6946 2.6946 2.6700 2.7676 2.7676 2.5339 2.7200 2.6378 2.7937 2.6000 2.7937 3.5066 27 28 Reservation Charge Billed ($/Mcf) 0.6303 0.6303 0.6303 0.8268 0.8268 0.8268 0.8268 0.8268 0.8268 0.8268 0.8268 0.8268 0.6441 28 29 Billed GCR Commodity Revenue $ 4,631,032 $ 2,982,969 $ 1,812,462 $ 782,074 $ 490,929 $ 601,289 $ 863,984 $ 2,467,743 $ 4,692,721 $ 8,378,079 $ 6,477,544 $ 6,105,910 $ 40,286,736 29 $ 40,286,736 $ - 30 Unbilled GCR Commodity - Prior Month (945,169) (688,219) (621,353) 5 (90,477) (458,263) (637,343) (1,914,797) (2,695,901) (5,248,678) (4,142,550) (3,049,217) (20,491,962) 30 2,441,913 (22,933,875) 31 Unbilled GCR Commodity - Current Month 688,219 621,353 (5) 90,477 458,263 637,343 1,914,797 2,695,901 5,248,678 4,142,550 3,049,217 4,123,307 23,670,100 31 (2,128,353) 25,798,453 32 Total GCR Revenue 4,374,082 2,916,103 1,191,104 872,556 858,715 780,369 2,141,438 3,248,847 7,245,498 7,271,951 5,384,211 7,180,000 43,464,874 32 40,600,296 2,864,578 33 Over/(Under)-Recovery 1,980,336 877,085 (60,434) (227,659) (101,511) 316,203 (67,186) (1,563,424) (289,772) (2,348,668) (1,337,100) 704,882 (2,117,247) 33 (4,673,220) 2,555,973 34 Less 2015/2016 Net Over/(Under)-Recovery Balanc (177,369) - - - - - - - - - - - (177,369) 34 (177,369) - 35 Year-To-Date Over/(Under)-Recovery $ 1,802,967 $ 2,680,054 $ 2,619,621 $ 2,391,962 $ 2,290,452 $ 2,606,657 $ 2,539,471 $ 976,046 $ 686,277 $ (1,662,392) $ (2,999,491) $ (2,294,610) 35 $ (4,850,589) $ 2,555,973
MICHIGAN PUBLIC SERVICE COMMISSION MICHIGAN GAS UTILITIES CORPORATION Revised Exhibit A-16 (GWS-1) (02/01/18), page 2 of 2 2016-2017 GCR Reconciliation Report Witness: Gary W. Simons Monthly Reservation Charge Over/(Under)-Recovery Without 12 MONTHS Unbilled Sales Line DESCRIPTION APRIL MAY JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER JANUARY FEBRUARY MARCH ENDED Line Adjustment Difference (a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) (l) (m) (n) (o) (p) Pipeline Demand / Supply / Reservation Costs (1) Pipeline Contract No. 1 ANR Enhanced Transportation Service (ETS) 109422 & 110024 $ 262,989 $ 157,845 $ 158,049 $ 160,517 $ 158,025 $ 177,612 $ 177,612 $ 177,612 $ 315,707 $ 315,707 $ 315,707 $ 315,707 $ 2,693,086 1 $ 2,693,086 $0 2 ANR No-Notice Service (NNS) 110025 96,345 64,230 64,400 64,400 64,400 68,750 68,750 68,750 103,125 103,125 103,125 103,125 972,525 2 972,525 $0 3 ANR Firm Storage Service (FSS) 110023 292,385 291,530 291,939 291,939 291,939 285,885 285,885 285,885 285,885 285,885 285,885 285,885 3,460,926 3 3,460,926 $0 4 ANR ETS Between MGU & ANR FSS 110019, 110020, & 110022 312,930 165,264 - - - - - - 409,196 409,196 409,196 409,196 2,114,978 4 2,114,978 $0 5 PEPL Enhanced Firm Transportation (EFT) 17000 & 23344 630,270 187,740 187,740 188,300 188,020 188,020 188,020 188,020 631,210 631,210 631,210 631,210 4,470,970 5 4,470,970 $0 6 Monthly Fixed Charges, Call & Swing contracts (various) 13,654 - - - - - - - 4,149 127,035 127,035 114,742 386,616 6 386,616 $0 7 Capacity Release credits (1,521) (11,988) (11,644) - - (6,806) - (197,062) (167,542) (156,000) (159,961) (165,850) (878,375) 7 (878,375) ($0) 8 Daily Balancing charges assessed - - - - (13,856) (32,392) (33,046) (41,706) (43,508) (50,744) (40,015) (25,709) (280,976) 8 (280,976) $0 9 Total 1,607,052 854,621 690,484 705,157 688,528 681,068 687,221 481,498 1,538,221 1,665,414 1,672,182 1,668,304 12,939,751 9 12,939,750 (0) 10 Billed Reservation Charge Revenues 1,309,171 840,443 518,004 307,353 145,864 219,101 343,670 903,364 1,797,943 2,972,032 2,491,512 2,177,663 14,026,120 10 14,026,120-11 Unbilled Reservation Charge - Prior Month (267,154) (194,556) (175,064) 2 (34,303) (136,158) (253,658) (709,543) (1,017,640) (1,898,730) (1,579,004) (1,091,527) (7,357,335) 11 774,375 (8,131,710) 12 Unbilled Reservation Charge - Current Month 194,556 175,064 (2) 34,303 136,158 253,658 709,543 1,017,640 1,898,730 1,579,004 1,091,527 912,710 8,002,892 12 (762,905) 8,765,797 13 Total 1,236,573 820,951 342,938 341,658 247,719 336,601 799,555 1,211,462 2,679,033 2,652,306 2,004,035 1,998,846 14,671,676 13 14,037,590 634,087 14 Over/(Under)-Recovery (370,479) (33,670) (347,546) (363,499) (440,809) (344,467) 112,334 729,963 1,140,814 986,891 331,853 330,542 1,731,925 14 1,097,840 634,085 15 Less 2015/2016 Net Over/(Under)-Recovery Balance (399,716) - - - - - - - - - - - (399,716) 15 (399,716) - 16 Year-To-Date Over/(Under)-Recovery $ (770,195) $ (803,865) $ (1,151,411) $ (1,514,910) $ (1,955,719) $ (2,300,186) $ (2,187,852) $ (1,457,889) $ (317,076) $ 669,814 $ 1,001,668 $ 1,332,209 16 $ 698,124 $ 634,085
S T A T E O F M I C H I G A N BEFORE THE MICHIGAN PUBLIC SERVICE COMMISSION * * * * * In the matter of the application of ) MICHIGAN GAS UTILITIES CORPORATION ) for a gas cost recovery reconciliation proceeding ) for the 12-month period ending March 31, 2017. ) STATE OF MICHIGAN ) )ss COUNTY OF INGHAM ) PROOF OF SERVICE Crystal L. Abbott, being first duly sworn, deposes and says that on February 1, 2018, she served a copy of Michigan Gas Utilities Corporation s Revised Exhibit A-16 (GWS-1) on the parties listed on the attached Service List via electronic mail. Subscribed and sworn before me on this 1 st day of February, 2018. Crystal L. Abbott Kim L. Delinescheff, Notary Public State of Michigan, Ingham County My Commission Expires: October 12, 2018
Service List Administrative Law Judge Honorable Lauren G. VanSteel 7109 W. Saginaw Highway, 3 rd Floor vansteell@michigan.gov Staff Heather M.S. Durian 7109 W. Saginaw Highway, 3 rd Floor durianh@michigan.gov Michigan Attorney General Joel B. King Michael E. Moody Assistants Attorney General Michigan Department of Attorney General ENRA Division 525 W. Ottawa Street, Fl. 6 P.O. Box 30755 Lansing MI 48909 KingJ38@michigan.gov MoodyM2@michigan.gov ag-enra-spec-lit@michgan.gov sebcoppola@corplytics.com 30687593.1\131120-00073