(a) In this part the following words have the meanings indicated. (b) “Assignee” means any individual, corporation, or other legally recognized entity to which an electric company transfers all or a portion of its interest in rate stabilization property, other than as security, including any assignee of that party. (c) (1) “Financing party” means a holder of rate stabilization […]
This part applies to an electric company that: (1) has an obligation to provide standard offer service to residential electricity customers in accordance with § 7-510(c) of this subtitle; and (2) is not subject to a rate cap or price freeze under § 7-505(d) of this subtitle during the period for which a rate stabilization plan is […]
(a) An electric company subject to this part may file a rate stabilization plan with the Commission for approval. (b) The rate stabilization plan may include both short-term and long-term deferrals of incremental expenses of electricity supplies.
(a) The Commission may require that a deferral of expenses under a rate stabilization plan be either voluntary or mandatory if the Commission finds that the required type of deferral is in the public interest. (b) The rate stabilization plan may provide that a deferral shall be secured through the issuance of rate stabilization bonds authorized by […]
(a) Tariffs implementing a rate stabilization plan may provide that: (1) residential customers shall be charged the full cost of residential standard offer service necessary to recover the electric company’s costs under § 7- 510(c)(3) of this subtitle; and (2) any credits or recoveries required or authorized under this part shall be reflected as nonbypassable credits or charges […]
(a) The Commission may authorize an electric company to recover, as additional rate stabilization costs, the actual cost to the electric company of carrying the deferred expenses as regulatory assets under short-term and long-term deferral plans. (b) The actual cost is equal to the deferred expenses as regulatory assets multiplied by the electric company’s cost of debt. […]
(a) An electric company may apply to the Commission for a qualified rate order for the financing and recovery of its rate stabilization costs. (b) On application of an electric company, the Commission may adopt a qualified rate order if the Commission finds that the total amount of revenue to be collected under the qualified rate order […]
(a) The qualified rate order shall set forth the rate stabilization costs to be recovered and the period over which the nonbypassable qualified rate stabilization charges shall be recovered. (b) The recovery period may not exceed 12 years.
(a) A qualified rate order shall become effective in accordance with its terms. (b) After a qualified rate order becomes effective, the qualified rate order and the qualified rate stabilization charges authorized in the qualified rate order are irrevocable and are not subject to reduction, impairment, or adjustment by further action of the Commission except in accordance […]
The Commission shall make a final decision on the issuance of a qualified rate order under this part no later than 60 days after the electric company files its request for the qualified rate order.
A qualified rate order approved by the Commission shall include terms ensuring that the imposition and collection of qualified rate stabilization charges authorized in the order are nonbypassable.
The Commission shall establish specific procedures and time frames for the review and adjustment of qualified rate stabilization charges at least once each year, within 90 days before the anniversary date of the issuance of the rate stabilization bonds, to correct any overcollections or undercollections of the preceding 12 months and to ensure the expected […]
(a) A qualified rate order shall terminate and expire 1 year after the date of its adoption if, during that period, no rate stabilization bonds authorized in the qualified rate order shall have been issued. (b) This period shall be extended by any period during which judicial proceedings for review may be pending in accordance with § […]
(a) At the request of an electric company, the Commission may adopt a qualified rate order providing for retiring and refunding rate stabilization bonds if the Commission finds that the future qualified rate stabilization charges required to service the new rate stabilization bonds, including transaction costs, will be less than the future qualified rate stabilization charges […]
(a) At the request of an electric company, the Commission may modify an existing qualified rate order, or issue an additional qualified rate order, providing for the issuance of: (1) additional rate stabilization bonds for rate stabilization costs not recovered under an original qualified rate order; or (2) new rate stabilization bonds for the combined purposes of: (i) financing […]
(a) A rate stabilization bond issued under this part is not a debt, liability, or a pledge of the full faith and credit of the State or any other governmental unit. (b) The issuance of a rate stabilization bond under this part is not directly, indirectly, or contingently a moral or other obligation of the State or […]
A qualified rate order under this part that authorizes the issuance of rate stabilization bonds may: (1) state the rights and remedies of bondholders and any assignee; and (2) contain provisions to protect and enforce the rights and remedies of bondholders and any assignee.
(a) The rights and interests of an electric company or successor under a qualified rate order, including the right to impose, collect, and receive qualified rate stabilization charges authorized in the order: (1) become rate stabilization property when they are first transferred to an assignee or are pledged in connection with the issuance of rate stabilization bonds; […]
A transaction that involves the transfer and ownership of rate stabilization property and the receipt of rate stabilization charges are exempt from State and local income, sales, franchise, gross receipts, and other taxes or similar charges.
(a) An agreement by an electric company or assignee to transfer rate stabilization property that expressly states that the transfer is a sale or other absolute transfer signifies that: (1) the transaction is a true sale and is not a secured transaction; and (2) legal and equitable title has passed to the entity to which the rate stabilization […]
