{"operation":"document","citation":"4 CCR 723-4 Rule 4756","title":"General Provisions Concerning Cost Allocation and Recovery","source_type":"regulation","agency":"Colorado Public Utilities Commission","status":"current","official":true,"published_on":null,"effective_on":null,"summary":"(a) Amortization periods. (I) For the base rate method, the utility shall propose the amortization period. The utility shall specify and explain the rationale for the amortization period proposed for each DSM program as a part of its DSM plan application, filed pursuant to rule 4753. (II) For the ex","machine_formats":{"json":"https://regulus.evalyn.ai/document/co-ccr-4-723-4-4756.json","markdown":"https://regulus.evalyn.ai/document/co-ccr-4-723-4-4756.md"},"app_url":"https://regulus.evalyn.ai/document/co-ccr-4-723-4-4756","source_url":"https://www.sos.state.co.us/CCR/DisplayRule.do?action=ruleinfo&ruleId=2260&deptID=18&agencyID=96&deptName=Department%20of%20Regulatory%20Agencies&agencyName=Public%20Utilities%20Commission&seriesNum=4%20CCR%20723-4","body":"(a) Amortization periods.\n(I) For the base rate method, the utility shall propose the amortization period.\nThe utility shall specify and explain the rationale for the amortization\nperiod proposed for each DSM program as a part of its DSM plan\napplication, filed pursuant to rule 4753.\n(II) For the expense method, the utility shall recover the annual expenditures\nprojected for that year over a one-year period.\n(b) A utility that provides both regulated gas and electric service shall give\nconsideration to the administrative benefits and reduced costs associated with\ncombining gas and electric DSM activities and shall assign costs and benefits\nappropriately to each plan.\n(c) Distribution of DSM program expenses.\n(I) The utility shall include in its portfolio-level benefit/cost analysis all indirect\ncosts relating to DSM, including but not limited to DSM customer\neducation, program design, and evaluation costs.\n(II) A utility’s existing gas efficiency and conservation customer education\ntools, such as on-line energy assessment tools or other similar internet\nbased tools, may be included in a utility’s gas DSM plan and costs\nrecovered pursuant to a gas DSM cost adjustment consistent with rule\n4758.\n(d) Decoupling.\n(I) The utility may file for approval of a revenue decoupling mechanism to\nremove disincentives to the implementation of effective gas DSM\nprograms.\n(A) The decoupling rate adjustment mechanism shall ensure that the\nrevenue per customer, as established by the Commission, in\nsetting base rates in a general rate case, is recovered by the utility\nwithout regard to the utility’s sales to customers in the applicable\nrate class or classes after the date the adjusted base rates take\neffect.\n(B) The Commission shall separately calculate, for the rate class or\nclasses to which a decoupling rate adjustment mechanism applies,\nthe regulatory disincentives removed through that decoupling\nmechanism and collected or refunded by the utility through a tariff\nmechanism.\n\n(II) The implementation of a revenue decoupling mechanism does not\npreclude a utility from receiving a G-DSM bonus pursuant to rule 4760.","truncated":false,"body_characters":2129}