2010 Report - Pennsylvania Public Utility Commission

Summary of EDC DataThe following sections provide, for each jurisdictional EDC, historic and projected energy salesand peak load; electric generation supplier sales statistics; purchases from cogeneration and smallpower production projects; planned transmission line additions; and conservation activities.Additional statistics on actual and forecast load and energy demand for the large EDCs areprovided in Appendix A.Duquesne Light CompanyDuquesne Light Company (Duquesne) is the principalsubsidiary of DQE Holdings 56 and provides electricservice to 586,616 electric utility customers in theCity of Pittsburgh and portions of Allegheny andBeaver counties in Southwestern Pennsylvania. In2009, Duquesne had energy sales totaling 13,185GWh -- down 4.9 percent from 2008. Commercialsales continued to dominate Duquesne's market with 49.6 percent of the total sales, followed byresidential (29.9 percent) and industrial (19.8 percent). Average annual use per residentialcustomer was 7,516 kWh at an average cost of 11.82 cents per kWh; operating revenues totaled$876.2 million.Between 1994 and 2009, Duquesne's total energy demand increased 0.6 percent per year:residential demand grew at an annual rate of 1.4 percent; commercial demand grew at 1.1 percent;and industrial demand decreased at an average annual rate of 1.5 percent. The current five-yearprojection of average increase in total energy consumption is 0.7 percent per year. This includes aresidential growth rate of 2.4 percent, a commercial rate of 0.6 percent and a major decline inindustrial sales of 2.1 percent per year. See Figure 26.Duquesne's summer peak load, occurring on Aug. 17, 2009, was 2,732 MW, representing adecrease of 3.2 percent from last year's peak of 2,822 MW. The 2009-10 winter peak load was2,122 MW or 5.5 percent lower than that of the previous year. The actual average annual peakload growth rate over the past 15 years was 0.5 percent. Duquesne’s forecast shows the peak loadincreasing from 2,732 MW in the summer of 2009 to 2,960 MW in 2014, or an average annualgrowth rate of 1.6 percent. The current forecast for 2010 is 0.6 percent above the previousforecast, filed in 2009. See Figure 27.Figure 28 depicts the average of deviations in forecasts made one to three years in advance. TablesA01-A04 in Appendix A provide Duquesne’s forecasts of peak load and residential, commercialand industrial energy demand, filed with the Commission in years 2000 through 2010.Currently, PJM manages the flow of wholesale electricity for Duquesne. Duquesne’s integrationinto PJM involved transferring control of 670 miles of high-voltage transmission lines; however,ownership has remained with Duquesne. PJM is the regional reliability coordinator for Duquesne.56 On April 24, 2007, the Commission approved the acquisition of Duquesne Light Holdings Inc., by merger, with theMacquarie Consortium. Headquarters remain in Pittsburgh. See Docket No. A-110150F0035.32Pennsylvania Public Utility Commission