Siemens Energy to Provide Hydrogen-Capable Gas Turbines to OPPD

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Industry News

Regulators Approve DP&L Transition Plan

LCG, Sept. 22, 2000Dayton Power & Light Co. said yesterday that Ohio regulators have approved the company's plan for its transition to a competitive electricity market. The company said the plan includes a three-year freeze on generation rates and a six-year freeze on delivery charges.

The Public Utility Commission of Ohio approved the DP&L plan yesterday after a settlement agreement was reached with numerous public agencies and business, consumer and electric industry representatives.

"With today's PUCO approval, DP&L has a transition plan in place that increases our growthpotential in a competitive market," chief executive Allen Hill said yesterday. "At the same time, it provides customers with a smooth transition to a deregulated supply market."

The company's transition plan covers a period which begins this coming January 1 and ends Dec. 31, 2003. Under the plan, DP&L will reorganize to separate its generation, transmission and distribution activities. In a news release, the company ticked off several provisions of the plan.

  • DP&L will have the opportunity to recover its transition costs.

  • No caps are placed on the company's allowable rate of return.

  • The utility will be allowed to purchase or sell assets without PUCO approval or impact on transition cost recovery.

  • Residential customers will receive a 5 percent rate discount that will stay in effect for three years.

  • Transmission and distribution charges will remain fixed for six years.

  • Customers will be able to seek savings from alternative providers of generation or receive guaranteed fixed prices from DP&L.

  • The utility will spend $1 million on customer information programs.

  • DP&L will invest an unspecified amount in low-income and energy efficiency programs.

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