A T T O R N E Y S 1121 West Main Street Post O f f i ce Box 634 Franltfoi-t, IKY 4OGfl2-0634 [ w ] 223-3477 15021 223-4124 Fax wwwsiites corn

April 20,201 1

HAND DELIVEW,D

Jeff R. Derouen Executive Director Public Service Commission 2 1 1 Sower Boulevard P.O. Box 615 Frankfort, KY 40602-061 5

Mark R. Overstreet (502) 209-1219 (502) 223-4387 FAX moverstreet@stites.com

~uBLIC, SERVICE COMMlSSION

RE: Case No. 2011-00055

Dear Mr. Derouen:

Please accept for filing the enclosed original and six copies of Kentucky Power Company's responses to Commission Staffs Second Set of Data Requests 7--'\

MRO

Alexandria, VA Arlanta, Gk Frankforr, KY Franklin, TN Jeffersonville, IN Lexington, I<'/ Louisville, IKY Nashville, Ti\?

COMMONWEALTH OF KENTUCKY

BEFORE THE

PUBLIC SERVICE COMMISSION OF KENTUCKY

IN THE MATTER OF

,JOINT APPLICATION PURSUANT TO 1994 HOUSE BILL NO. 501 FOR THE APPROVAL OF KENTUCKY POWER COMPANY’S COLLABORATIVE DEMAND-SIDE ) MANAGEMENT PROGRAMS, AND FOR AUTHORITY TO IMPLEMENT A TARIFF TO REXOVER COSTS, ) CASENO.

ASSOCIATED WITH THE IMPLEMENTATION OF THE

1 )

)

NET LOST REYENUES AND RECEIVE INCENTIVES ) 2011-000SS

I<ENTUCI<Y POWER COMPANY COLLABORATIVE 1 DEMAND-SIDE MANAGEMENT PROGRAMS )

)

KENTUCKY POWER COMPANY RESPONSES TO COMMISSION STAFF’S SECOND SET OF DATA REQUESTS

April 20,2011

Edgar J. Clayton, upon being first duly sworn, hereby makes oath that if the foregoing questions were propounded to him at a hearing before the Public Service Commission of Kentucky, he would give the answers recorded following each of said questions and that said answers are true.

Commonwealth of Kentucky

County of Franklin

)

1 ) Case No. 201 1-00055

Sworn before me and sL,scribed in my presence by Edgar J. Clay *m, this the day of April, 201 1.

My Coiiiinission Expires: 3 4 - 0 -aO/&

Lila P. Munsey, ~ipon being first duly sworn, liereby irialtes oath that if tlie foregoing questions were propounded to her at a hearing before the Public Service Commission of Kentucky, she would give the answers recorded following each of said questions and that said aiiswers are true.

Coirimoiiwealth of ICentuclty )

Count,y of Fraidtliii 1 ) Case No. 201 1-00055

Sworn before ine and subscribed in my presence by Lila P. Munsey, this the /?‘%day of April, 201 1.

My Comiiiissioii Expire 3

KPSC case Plo. 2 ~ 8 8 - ~ ~ ~ ~ ~ Comnaissiora Staff’s Second Set o f Data Requests

Oa.cBer Dated April 84,20311 Tlenn lY0. I Page 8 of 8

For the Grst quarter or 20 1 1 , list, by program, the actual iiuiiiber o€ participants in the demand-side maiiagemeiit (,‘D§M”) prograiiis versus Kentucky Power’s proposed number o€ participants.

The projected 1 st quarter data was completed January 24, 20 1 1 , aiicl was iiicluclecl with the status report presented to the DSM collaborative on February 1 , 20 1 1.

PROGRAM DESCRIPTION Targeted Energy Efficiency - All Electric Targeted Energy Efficiency - Non All Electric High EfAciency Heat Pump - Mobile Home Mobile Home New Construction Modified Energy Fitness Program Energy Education for Students Community Outreach CFL High Efficiency Heat Pump - Resistance Heat High Efficiency Heat Pump - Non Resistance Heat Residential HVAC HP Diagnostic and Tune Up Residential HVAC AC Diagnostic and Tune Up Commercial HVAC HP Diagnostic and Tune Up Commercial HVAC AC Diagnostic and Tune Up Residential Efficient Products * Residential Load Mngt A/C Residential Load Mngt Water Htg. Commercial Load Mngt N C Commercial Load Mngt Water I-ltg. Commercial High Efficiency AC Replacement Commercial High Efficiency HP Replacement Commercial Incentive

ACTUAL QTR 1

58 3 38 37 296 48’1 281 78 93 40 0 0 0 0 0 0 0 0 0 0 0

PROJECTED QTR 1

67 10 39 41 300 50’1 600 55 130 53 81 6 33

17980 0 0 0 0 16 2 ‘I 4

* The contracting agreement for the Residential Efficient Products programs became effective in February 201 1 with program participants not available until the second quarter of 201 1 pending contractorkonsultant validation of the data.

TNESS: E. J. Claytoii

IDSC Case No. 2011-000S5 Connmissiota Staff’s Second Set OF Data Requests

Orden- Dated April 14, 2011 &Bemi NO. 2

f Of2

REQUEST

The spreadsheets, including all foriiiulas, provided in the CD filed with I<entucky Power’s Apri 1 6, 2.0 1 1 data respoiises were reviewed by Coiiiiiiissioii Stxff. Refer to tlie spreaclsheet titled Coiiiiiiercial - Lost Reveiiues Factors - Deceiiiber 2010 011 tlie filed CD. The spreadsheet tabs labeled “Commercial Iiiceiitive Program, Coiiiiiiercial I-Iigh Efficiency Heat Puiiip/ Air Coiiditioiiers Prograiii - Air Conditioner and Commercial High Efficiency I-Ieat Pu nip 1 Air coiiditioiiers Prograiii - I-kat Pmiip Replacement’’ provide the followiiig iiiforiiiatioii:

Program Allllual Average Reductio ii

Coiiiiiiercial I iiceiitive Prograiii 14,956

Coiiiiiiercial High Elficieiicy I-kat Puiiip/Air Coiiditioiier Air Coiiditioiier 137

Commercial I-Iigh Elficieiicy I-leaf Ptmp/ Air Conditioner-I-Ieat Pump R eplaceiiieiit 137

Average Lost Moiithl y Reveiiue Recluctioii Factor

per ltW1i

4,842.833.3 $0.025657

26.0833 $0.14803

1 03.3 3 3 3 $0.5 8.5 99

a. Is the Average Monthly Reduction 1/12 of the Aluiual Average Reduction?

b II‘tlic answer to 23 . is 110, does the followiiig table of iiiroriiiatioii iiiore accurately iepreseiit aii Average Moiitlily Reduction that is 1 /12 or the Average Annual Reduction? Explaiii iii detail.

IWSC Case No. 2181%-043055 Coinmissiomi Staft’s Secorid Set of Data Requests

Order Dated April 14., 2011 Item No. 2 Page 2 o f2

1) r 0 gram Aiiii~i al Average Average Moiitlil y Reduction Reducti oii

Coiiiiiiercial Iiiceiitive J’rogsaiii 14,956 1,246.33.33

Commercial I-Iigli Efficiency Heat Puiiip/A ir Coiiditi oiier- A i r Coli d i t io iier 137

Coiiiiiiercial I-Tigh Efficiency 1-1 e at P 1 iiiip/A ir C o iidi t i oiier- I-Teat Puiiip Replaceiiieiit 137

11.4167

11 “4167

c. If the table of information in 2.b. i s coirect, theii does lost revenue accouiit lor the changes in the listed prograiiis? Explain in detail.

( I . I[ the aiiswer to 2.c. is yes, provide a revised Exhibit C aiid lost reveiiue factor sclietliilcs in electronic foriiiat with all fosiiiulas aiid assumptions intact.

RESPONSE

a Tlie Average Moiilhly Reduction is iiot 1/12 of the Aiii i~al Average Reduction.

17. The tablc of‘iiifoiiiiatioii does represent ai1 Average R/lolitlily Reduction tliat is 1/12 ol [lie Avei age Aiiii~ial Reduction.

c The lost ievenue factors have been recalcuiated. Exhibit C, pages 17A-2 aiid 17B-2 have becii corrected based on the iiew lost reveiiue faclors.

(1. A revised Exhibit C, iiicluding lost reveiiue €actor schedules in electronic foriiiat with all foriiirrias and assruiiptions intact, is enclosed 011 CD.

WITNESS: Lila P. Muiisey

I<PSC Case ND 201 1-00055 Coinmission Stars 2nd Set of Data Requests Order Dated April 14, 201 1 Item ND 2 Attachment 1 Page 1 of 5

IiPSC' c':lsc No. LO1 1-00055 ( ' o ~ u i i i i s s i t ~ i ~ S[all's I r i i l i : t l Set of 1)ala I{cqllests

0I.tlci- Ihletl M:lr.cll 23, LO1 1 Itell1 No. 8

<i 11 :I C l l Illell 1 1 I'age 1of'JO

- I<ENTUCI<Y POWER COMPANY Exliibii C I I - - . - - DERIVATIOI4 OF 3 SECTOR SURCHARGES FOR 3 YR

___________

15 YEAR 16 YEAR 16 RESIDENTIAL SECTOR I ihru 14 (2010) (201 1) (2011)

2nd 1st 2nd, 3rd 8 4th I iALF QTR QTRs

~

(3) (4) (5 )

-_ __

-

__ .- __

~

- 4 TOTAL TO BE RECOVERED 5 TOTAL AMOUNT RECOVERED 6 EXPECTED FUTURE RECOVERIES

0 ____

8 TRANSFER PORTION OF BALANCE FROM COMMERCIAL 9,487 0 0 9,487 __ -

__ ........_......... ................._ .. ̂._...........__ ...._............. __

__ 9 -)/UNDER COLLECTION TO BE REFUNDED ________ ~- -

- ~- I O AMOUNT TO BE RECOVERED

- 'I1 ADJ. ESTIMATED SECTOR KWH - YEAR 16

-- SURCHARGE RANGE ( S PER KWH )

12 FLOOR (CARRYOVER) 13 MIDPOINT - proposed rale

__ I4 CEILING (TOTALCOST)

__ COMMERCIAL SECTOR 1 l l irii 14 (2010)

1st 2nd. 3rd 8 4ih __

HALF __ -~ - -

$2,899,298 so

1.520

2,900.818 2,888.053

13,278) 22,784

1 $1,059,007 -~

0 001002

TOTALYEARS YEAR 15 YEAR 15 YEAR 16 YEAR 16 -~

0 12 CURRENT PERIOD AMOUNT TO BE RECOVERED ' 579,026

129 CUMULATIVE (0VER)LUUDER COLLECTION __ 30 18 MOS. RETROACTIVE(0VER)IUNDER ADJUSTMENT 0 - 0

31 TOTAL TO BE RECOVERED 79.026 79,026 __ __ 92.137

36 AMOUNT TO BE RECOVERED

37 ADJ. ESTIMATED SECTOR KWli - YEAR 16

__

- SURCHARGE RANGE ( S PER I<WH )

__ 38 FLOOR (CARRYOVER) 39 MIDPOINT 40 CEILIIdG (TOTALCOST) -proposed rale I

I - -

KPSC C:IX NO. 201 1-00055 Corninissiori St:ill’s 1iiiti:tl Set 01 Data Itequesls

Ovtlci Dated R4;ircli 23, 201 1 Item No. 8

,ilt;lcllmellt 1 Pege 33 of40

IWSC Case No 201 1-00055 Commission Staff’s 2nd Set of Data Requests Order Dated April 14, 2011 Item No 2 Attachment ‘1 Page 2 of 5

c

c

KPSC Case No 20 1 1-00055 Commission Staffs 2nd Set of Data Requests Order Dated April 14, 201 1 Item No 2 Attachment 1 Page 3 of 5

I\I'SC' C::lsc No. 201 1-00055 ~ ' ~ t i i ~ i ~ i i s s i ~ i i ~ Slall's I i i i l i i i l Scl of D:rl:i Requests

0 1 tirr 1):1letl M a l c . l l 13,201 I I t C I l l No. 8

A1t: Ic l r l l lC l l t 1 1':1ge 3 5 OIJO

KPSC Case No 201 1-00055 Commission Staffs 2nd Set of Data Requests Order Dated April 14, 201 1 Item No 2 Attachment 1 Page 4 of 5

I<PSC' C i s e No. LO1 1-00055 C'oiniiiissioti S1:ilt's 1tiiti:il Set 01 D:il:i Ikqriesls

01 tler D:1tetl RI:II cI1 23, LO1 I lletll No. 8

RLl:lclllllellt I h g e 36 of 40

I<PSC Case No 201 1-00055 Commission StafPs 2nd Set of Data Reqirests Order Dated April 14, 201 1 Item No. 2 Attachment 1 Page 5 of 5

I<PSC, Case No 201 1-00055 Coinmission Staff's 2nd Set of Data Requests Order Dated April 14, 201 1 Item No 2 Attachment 2 Page 1 of 3

I<PSC Case No 201 I-00055 Coinmission Staffs 2nd Set of Data Requests Order Dated April 14, 201 1 Item No. 2 Attachment 2 Page 2 of 3

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IWSC Case No 201 1-00055 Commission Staffs 2nd Set of Data Requests Order Dated April 14, 201 1 liein No 2 Attacliinent 2 Page 3 of 3

Provide a list oC active DSM Collaborative ineiiibers by iiaiiie, iiiclucliiig the organization that they represent and whetlier that person is a votiiig iiiember.

A lis1 of active DSM Collaborative members by imine, iiicludiiig the organization that they represent aiid whether that person is a votiiig member, is provicled 011 Pages 2 and 3 of this response.

WITNESS: E J Clayton

KPSC Case No. 20 1 1-00055 Commission Staffs 2nd Set of Data Requests

Order Dated April 14, 201 1 Item No. 3

Page 2 of 3

The voting members o f the Collaborative are:

Executive Director/CAK §tal€ Melnber/CAI<

Priinary - Rob Joiies Alternate - Dan McI(lenzie

Executive D irecto r/NEI< C AA §tar€ Meinber/NEI<CAA

Primary - David Carroll Alteriiate - ICiiii Tacltett

Executive Director/B§CAP Staff Meiiiber/B§CAP

Primary - Mike I-Iowell Alternate - Waiicla Tliaclter

Executive DirectorlMKCAP Staff MeinbedMKCAP

Primary - Darrell §house Alternate - Trish Little

Executive Director/GCAC Staff MeinbedGCAC Alternate

Priinary - Wallace Rose

Executive Director/LI<LP Staff inein ber/LI< LP Alteriiate

Priiiiary - Aiiiiie Thompson

Executive Direclor/LINI<S Rel~reseiitative/L~NI( S Alternate

Priinary - Brett Davis

EPepresentative/BSADD Aging RepreseiitativelBSADn Aging Alternate

Priiiiary - Bertha Daniels

Senior Weatlierization Trainer Staff Member IGIC Alternate

Priinary - Gary Brown

41 1 9/2,0 1 1

KPSC Case No 201 1-00055 Commission Staffs 2nd Set of Data Requests

Order Dated April 14, 201 1 Item No. 3

Page 3 of 3

Assistant DirectorlAtty General Staff Meiiiber/Atty General

Primary - Deiinis Howard Alternate - E-Ieather T<asli

DSM Program Manager Staff Meiiiber/KPCQ

Primary - E. J. Clayton Alternate - Scott Bishop

Assistant DirectodAtty Geiieral Staff Member/Atty General

0. ICeMi'd4Cky Po weF' conapany

DSM Program Manager Staff Meiiiber/I<PCo

c. F/o.yd Comty SchooO.9

Director of Facilities Star€ MeinbedFloyd Co. Schools

d. Ow Lady qf Bellefonte I~o.9pifal

Director of Facilities Staff Member/OLBI-I

Primary - Dennis I-Ioward Alternate - I-leather ICasli

Primary - E. J. Clayton Alternate - Scott Bishop

Priinary - David I-Iall Alteriiate

4/ 1 9/20 1 1