PUBLIC SERVICE COMMISSION
OF WEST VIRGINIA
CHARLESTON
Entered: December 3, 1987
CASE NO. 87-749-E-PC
APPALACHIAN POWER COMPANY,
a corporation.
Petition for approval of the
purchase of certain property
from an affiliated corporation.
FINAL ORDER
On November 10, 1987, Appalachian Power Company (APCO), a public
utility regulated by this Commission, filed a Petition seeking Commission
approval of the purchase by the Petitioner of a transformer from Kentucky
Power Company, an affiliated corporation.
The proposed purchase price is
the net book value of the equipment, which is presently $97,392. Shipping
and installation charges will be borne by APCO.
In the Petition, APCO states that on October 19, 1987, 46/12 KV
12/60/20
MVA transformer failed at APCO's Beckley station.
The failed
transformer was temporarily replaced with a 15 W A mobile unit.
APCO has
determined that the failed transformer cannot be repaired in the field and
a permanent replacement unit is required.
APCO does not have a suitable
spare unit in its inventory at this time and it seeks to purchase this
unit from Kentucky Power Company.
APCO further states that approval of
the purchase of this transformer will enable it to restore the Beckley
station to normal operations prior to the peak heating season and return
the 15 MVA mobile transformer to APCO's use for possible emergency needs
in the future.
PUBLIC SERVICE COMMISSION
OF W E S T V I R G I N I A
Pursuant to standard Commission policy, this filing was submitted to
the Commission's operating divisions which filed their recommendations in
the form of a Joint Staff Memorandum filed on November 2 5 , 1 9 8 7 , from
Staff Attorney Mark G. Thessin.
Based upon the submitted information and
lack of adverse affect on APCO or its customers, Staff recommends that the
sale be approved, pursuant to West Virginia Code $24-2-12, without specifically approving the terms and conditions of the agreement.
Upon consideration of all the foregoing, the Administrative Law Judge
(ALJ) is of the opinion, finds and concludes that Commission approval
should be granted to the Petition filed on November 10, 1 9 8 7 , without
specifically approving the terms and conditions of the contract for sale.
IT IS, THEREFORE, ORDERED that the Petition filed by Appalachian
Power Company, a public utility, for Commission approval of the purchase
of a General Electric 4 6 / 1 2 KV 1 2 / 6 0 / 2 0 MVA OA/FA/FOA Transformer, Serial
No. L-252437B from Kentucky Power Company, an affiliated company, for the
sum of $ 9 7 , 3 9 2 be, and the same hereby is, approved without specifically
approving the terms and conditions contained in the agreement between the
parties.
IT IS FURTHER ORDERED that the Executive Secretary of the Commission
serve a copy of this order upon all parties to this proceeding by United
States First Class Mail and upon the Commission Staff by hand delivery.
This order is issued pursuant to General Order No. 2 1 2 , dated December 1 6 , 1 9 8 2 , which order designates the Division of Administrative Law
Judges as the initial decision making body in the Public Service Commission and authorizes the Public Service Commission Administrative Law
Judges to issue orders on behalf of the Commission in all proceedings
filed pursuant to Chapter 24 of the West Virginia Code, which proceedings
PUBLIC SERVICE COMMISSION
OF W E S T V I R G I N I A
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are not set for hearing and which orders shall have the full force and
effect of Commission orders, without the provision for the filing of
exceptions thereto.
Leave is hereby granted to the parties to file a petition for further
hearing, reopening, or rehearing pursuant to Rule 19 of the Commission's
Rules of Practice and Procedure with the Executive Secretary of the
Commission within ten (10) days after the date this order is mailed.
Mark T. Aliff
MTA: cjf
PUBLIC SER VIC E C O M M I S S I O N
O F WEST VIRGINIA
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