Pennsylvania Power & Light Co. filed a preliminary estimate of its Energy Cost Rate with the state Public Utility Commission Wednesday (1/31) along with a proposed change in a special rate adjustment clause.

Paul Russell, PP&L's associate general counsel, said the preliminary figures indicate that the ECR will decrease by more than $33 million. The ECR is a line item on customer bills that allows for recovery of changing energy expenses without the filing of a full base rate case.

"We are very pleased that the better-than-expected performance of our power plants, especially the Susquehanna nuclear plant, will result in a substantial reduction in the ECR," said Russell.

The company also filed changes to another line item on bills, the Special Base Rate Credit Adjustment. This adjustment is being used to credit customers for savings related to a change in the company's inventory practices. That credit, about $22 million a year, now has expired so the clause needs to be adjusted. Another component of the SBRCA, a credit to customers resulting from a legal settlement related to the construction of the Susquehanna plant, will continue on bills through March 1997.

Both the ECR and SBRCA changes would be effective April 1, if the commission approves.

Russell said the company also expects to file changes to a third component on bills -- the State Tax Adjustment Surcharge -- in March. That change will reflect the expiration of a $7.5 million credit that had been flowing to customers as the result of last year's 2 per-cent retroactive decrease in state taxes.

"While we don't have all the numbers in final form at this time, we expect the combined effect of the three changes to result in a slight overall decrease in customer bills although the actual impact will vary depending on the type of customer and actual use," said Russell. "We will have final numbers on the ECR by the end of February."

Russell explained that electric utilities in Pennsylvania are required to file ECR changes annually, with an effective date of April 1. PP&L has traditionally made other non-base rate changes at that time to simplify the process.