2010 Pennsylvania Code
Title 15 - CORPORATIONS AND UNINCORPORATED ASSOCIATIONS
Chapter 74 - Generation Choice for Customers of Electric Cooperatives
7407 - Transition surcharge and stranded cost recovery.

     § 7407.  Transition surcharge and stranded cost recovery.
        (a)  Transition surcharge.--A transition surcharge is the
     total stranded costs payable to an electric cooperative
     corporation as a condition precedent to a consumer-member of an
     electric cooperative corporation having the right to receive
     electric generation service from another source.
        (b)  Determination of stranded costs.--Total stranded costs
     shall be reasonably determined by an electric cooperative and
     may include:
            (1)  The pro rata share in all investments in electric
        cooperative distribution, transmission and generation plant
        and facilities.
            (2)  The pro rata share of foreseeable decommissioning
        costs of generation facilities.
            (3)  The pro rata share of all effective electric
        cooperative contractual commitments to others, regulatory
        assets, deferred debits and credits, fixed operation and
        maintenance expenses, expenditures made for the benefit of
        the departing customer and administrative and other costs
        incurred or to be incurred by an electric cooperative as a
        result of a decision by a consumer-member to take electric
        generation service from another source.
        (c)  Determination of pro rata share.--The pro rata share of
     electric cooperative stranded costs shall be determined on the
     basis of historical energy and capacity usage by this consumer-
     member compared to historical total energy and capacity usage of
     such electric cooperative or by direct assignment where
     applicable.