2010 Pennsylvania Code
Title 66 - PUBLIC UTILITIES
Chapter 13 - Rates and Rate Making
1310 - Temporary rates.

     § 1310.  Temporary rates.
        (a)  General rule.--The commission may, in any proceeding
     involving the rates of a public utility, except a proceeding
     involving a general rate increase, brought either upon its own
     motion or upon complaint, after reasonable notice and hearing,
     if it be of opinion that the public interest so requires,
     immediately fix, determine, and prescribe temporary rates to be
     charged by such public utility, pending the final determination
     of such rate proceeding. Such temporary rates, so fixed,
     determined, and prescribed, shall be sufficient to provide a
     return of not less than 5% upon the original cost, less accrued
     depreciation, of the physical property, when first devoted to
     public use, of such public utility, used and useful in the
     public service, and if the duly verified reports of such public
     utility to the commission do not show such original cost, less
     accrued depreciation, of such property, the commission may
     estimate such cost less depreciation and fix, determine, and
     prescribe rates as hereinbefore provided.
        (b)  Exception where records unavailable.--If any public
     utility does not have continuing property records, kept in the
     manner prescribed by the commission under the provisions of
     section 1702 (relating to continuing property records), then the
     commission, after reasonable notice and hearing, may establish
     temporary rates which shall be sufficient to provide a return of
     not less than an amount equal to the operating income for such
     prior calendar, fiscal or other year as the commission may deem
     proper, to be determined on the basis of data appearing in the
     annual report of such public utility to the commission for such
     prior year as the commission may deem proper, plus or minus such
     return as the commission may prescribe from time to time upon
     such net changes of the physical property as are reported to and
     approved for rate-making purposes by the commission. In
     determining the net changes of the physical property, the
     commission may, in its discretion, deduct from gross additions
     to such physical property the amount charged to operating
     expenses for depreciation or, in lieu thereof, it may determine
     such net changes by deducting retirements from the gross
     additions. The commission, in determining the basis for
     temporary rates, may make such adjustments in the annual report
     data as may, in the judgment of the commission, be necessary and
     proper.
        (c)  Periodicity of rates.--The commission may fix,
     determine, and prescribe temporary rates every month, or at any
     other interval, if it be of opinion that the public interest so
     requires, and the existence of proceedings begun for the purpose
     of establishing final rates shall not prevent the commission
     from changing every month, or at any other interval, such
     temporary rates as it has previously fixed, determined, and
     prescribed.
        (d)  Excessive rates.--Whenever the commission, upon
     examination of any annual or other report, or of any papers,
     records, books, or documents, or of the property of any public
     utility, shall be of opinion that any rates of such public
     utility are producing a return in excess of a fair return upon
     the fair value of the property of such public utility, used and
     useful in its public service, the commission may, by order,
     prescribe for a trial period of at least six months, which trial
     period may be extended for one additional period of six months,
     such temporary rates to be observed by such public utility as,
     in the opinion of the commission, will produce a fair return
     upon such fair value, and the rates so prescribed shall become
     effective upon the date specified in the order of the
     commission. Such rates, so prescribed, shall become permanent at
     the end of such trial period, or extension thereof, unless at
     any time during such trial period, or extension thereof, the
     public utility involved shall complain to the commission that
     the rates so prescribed are unjust or unreasonable. Upon such
     complaint, the commission, after hearing, shall determine the
     issues involved, and pending final determination the rates so
     prescribed shall remain in effect.
        (e)  Effect and adjustment of rates.--Temporary rates so
     fixed, determined, and prescribed under this section shall be
     effective until the final determination of the rate proceeding,
     unless terminated sooner by the commission. In every proceeding
     in which temporary rates are fixed, determined, and prescribed
     under this section, the commission shall consider the effect of
     such rates in fixing, determining, and prescribing rates to be
     thereafter demanded or received by such public utility on final
     determination of the rate proceeding.

        Cross References.  Section 1310 is referred to in sections
     1308, 1309 of this title.

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