Pennsylvania Power & Light Co. has filed applications with the Federal Energy Regulatory Commission to increase wholesale rates charged for electricity sales to other utilities.
Changes would affect only four power companies that buy electricity on a contractual basis from PP&L. Those companies are Jersey Central Power & Light Co., Atlantic City Electric, Baltimore Gas & Electric Co. and UGI Utilities Inc.
The filing has no effect on retail electricity rates paid by PP&L's 1.2 million residential and business customers or the rates paid by other wholesale power customers: 16 municipalities that buy electricity from PP&L, Citizens Electric Co. of Lewisburg or Allegheny Electric Cooperative.
In its request, PP&L proposes an increase in the amount it collects through power sales contracts for its projected costs to decommission nuclear and fossil-fuel power plants. PP&L also seeks to reflect changes in its depreciation expenses for certain types of assets.
The proposed depreciation and nuclear decommissioning changes are intended to bring PP&L's four power sales contracts into conformity with changes approved last year for retail rates by the Pennsylvania Public Utility Commission.
The amount of the proposed increase depends on the terms of the power sales contract each utility has with PP&L. It ranges from about $1 million to $5.5 million annually.