This text of North Dakota § 49-05-04.2 (Rate adjustment - Federal environmental mandate costs) is published on Counsel Stack Legal Research, covering North Dakota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.
1.The commission may approve, reject, or modify a tariff filed under section 49-05-06,
which provides for an adjustment of rates to recover jurisdictional capital costs and
associated operating expenses incurred by a public utility to comply with federal
environmental mandates on existing electricity generating stations. For purposes of
this section, federal environmental mandates are limited to any requirements under the
Clean Air Act, the Clean Water Act, or any other federal law or rule designed to protect
the environment. Associated operating expenses are costs incurred by the public utility
to comply with the environmental mandate. The tariff must:
a.Allow the public utility to recover on a timely basis its investment in capital costs
and associated operating expenses incurred to me
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1. The commission may approve, reject, or modify a tariff filed under section 49-05-06,
which provides for an adjustment of rates to recover jurisdictional capital costs and
associated operating expenses incurred by a public utility to comply with federal
environmental mandates on existing electricity generating stations. For purposes of
this section, federal environmental mandates are limited to any requirements under the
Clean Air Act, the Clean Water Act, or any other federal law or rule designed to protect
the environment. Associated operating expenses are costs incurred by the public utility
to comply with the environmental mandate. The tariff must:
a. Allow the public utility to recover on a timely basis its investment in capital costs
and associated operating expenses incurred to meet federal environmental
mandates not reflected in the utility's general rate schedule.
b. Allow a return on the public utility's investment made to meet federal
environmental mandates at the level approved in the utility's most recent general
rate case.
c. Provide a current return on construction work in progress to meet federal
environmental mandates provided the cost recovery from retail customers of the
allowance for funds used during construction is not sought through any other
means.
d. Terminate cost recovery after the public utility's costs and expenses to meet
federal environmental mandates have been recovered fully or have been
reflected in the utility's general rate tariffs.
2. Rate adjustments filed under the tariff must be accompanied by:
a. A description and quantification of the costs and expenses incurred by the public
utility to meet federal environmental mandates which are subject to recovery;
b. A schedule for implementation of the applicable projects;
c. Calculations to establish that the rate adjustment is consistent with the terms of
the tariff; and
d. An application fee in the amount of one hundred thousand dollars. Upon request
of the commission and with the approval of the emergency commission, the
applicant shall pay such additional fees as are reasonably necessary for
completion of the application process by the commission. The commission may
waive or reduce the fee.
3. Upon receipt of a rate adjustment filed under the tariff, the commission shall approve
the rate adjustment to become effective unless, after notice and opportunity for
hearing and comment, the commission determines the rate adjustment does not
comply with the tariff or the incurred costs and expenses to meet federal
environmental mandates are not reasonable and prudent. The commission shall pay
the expenses of investigating a rate adjustment to meet federal environmental
mandates under this section from the application fee paid by the public utility in
accordance with section 49-02-02. The public utility has the burden of proving that the
rate adjustment complies with the tariff and that the costs and expenses incurred to
meet federal environmental mandates are reasonable and prudent.