Energizing the Future
Alabama regulatory summary
•
Top-rated regulatory jurisdiction by RRA
Rate Stabilization and Equalization (RSE) annual rate-setting process
RSE parameters evaluated 3-4 four years
Spire Alabama RSE reset - Q1 FY23
.
Spire Gulf RSE reset - Q1 FY22
- Rates set based on forward-year budget, retained
shareholders' equity, and current recovery of planned capex
Spire AL allowed ROE 10.15% - 10.65% (midpoint 10.4%); 55.5% equity ratio
Spire Gulf allowed ROE 9.7% - 10.3% (midpoint 9.95%); 55.5% equity ratio
• Cost Control Measurement (CCM)
Incentive to manage O&M costs relative to target benchmark
and provide for cost-sharing with customers outside of band
Good recovery mechanisms
Spire Alabama
Gas costs, weather normalization and certain other non-recurring costs
O&M per customer
2018
75% Company
25% Customer
Cost Target
1.5%
1.5%
50% Company
50% Customer
Opportunity for enhanced return for pipeline replacement (Spire Alabama's AIM – 10 bp additional
ROE) and certain infrastructure investments (Spire Gulf's CIMFR)
Spire Alabama Off-System Sales and Capacity Release - 75%/25% value sharing with customers
Alabama Public Service Commission - commissioners elected to 4-year term
Twinkle Andress Cavanaugh, President (R) - 2024
-
Chris "Chip" Beeker (R) – 2022
-
-
Jeremy H. Oden (R) - 2022
30 Spire | Investor presentation - August 2022View entire presentation