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Rate Matters (Tables)
 6 Months Ended
Jun. 30, 2015
Public Utilities, General Disclosures [Abstract]  
SPS' Texas 2015 Electric Rate Case [Table Text Block]

In June 2015, SPS filed rebuttal testimony supporting a revised rate increase of approximately $42 million, or 4.4 percent.
 
 
 
 
 
 
 
 
SPS Rebuttal Testimony
(Millions of Dollars)
 
AXM
 
OPUC
 
Staff
 
SPS’ revised rate request
 
$
58.9

 
$
58.9

 
$
58.9

 
$
58.9

Investment for capital expenditures — post-test year adjustments
 
(11.3
)
 
(23.8
)
 
(23.8
)
 
—

Lower ROE
 
(10.9
)
 
(13.5
)
 
(12.1
)
 
—

Rate base adjustments (largely the removal of the prepaid pension asset)
 
(6.2
)
 
(6.8
)
 
—

 
—

O&M expense adjustments
 
(13.7
)
 
(11.0
)
 
(7.9
)
 
(1.6
)
Depreciation expense
 
(13.3
)
 
—

 
—

 
—

Property taxes
 
—

 
(1.2
)
 
(4.4
)
 
(1.8
)
Revenue adjustments
 
(2.2
)
 
(0.2
)
 
—

 
—

Wholesale load reductions
 
(13.2
)
 
—

 
(11.1
)
 
—

Southwest Power Pool (SPP) transmission expansion plan
 
—

 
—

 
—

 
(7.3
)
Other, net
 
(1.7
)
 
(0.6
)
 
(2.2
)
 
(1.8
)
Total recommendation
 
$
(13.6
)
 
$
1.8

 
$
(2.6
)
 
$
46.4

Adjustment to move rate case expenses to a separate docket
 
—

 
—

 
—

 
(4.3
)
Recommendation, excluding rate case expenses
 
$
(13.6
)
 
$
1.8

 
$
(2.6
)
 
$
42.1
FERC Wholesale Rate Complaints [Table Text Block]
In the first half of 2015, Golden Spread, SPS and FERC staff filed their initial testimonies recommending the following ROEs:
 
 
Refund Period
 
Production ROE
 
Transmission ROE (a)
Golden Spread (b)
 
1
 
8.78
%
 
9.28
%
 
 
2
 
8.51

 
9.01

 
 
3
 
8.45

 
8.95

SPS
 
1
 
10.25

 
10.39

 
 
2
 
10.25

 
11.20

 
 
3
(c) 
10.40

 
11.20

FERC Staff
 
1
 
8.97

 
9.47

 
 
2
 
8.64

 
9.14

 
 
3
 
8.53

 
9.03


(a) 
Includes a SPP RTO membership adder up to 50 basis points.
(b) 
For the third refund period, the recommended production and transmission ROEs are supported by Golden Spread, certain New Mexico cooperatives and the West Texas Municipal Power Agency (transmission ROE only).
(c) 
In addition to the recommended ROEs, SPS also filed testimony recommending the ROEs remain unchanged.