gUBLlC SERVICE COMM~~SIOM cases/2006-00196... · 2nd Electric Power Carts Adjustment (EPCAl. respectively. 21 ACd a~s?ssed where applicable pursuant to Section 154.402 of the Commisiion's

May 1 1,2006

Ms. Elizabeth O'Donnell Executive Director Kentucky Public Service Commission 21 1 Sower Boulevard Frankfort, Kentucky 40602

Dear Ms. O'Donnell:

DUKE ENERGY CORPORATION 139 East Fourth Street P 0 Box 960 OncinnaO, OH 45201-0960

gUBLlC SERVICE COMM~~SIOM

Enclosed for filing are an original and four (4) conformed copies of Duke Energy Kentucky's ("Duke") "Monthly Report of Gas Cost Calculations and Tariff Schedules," for the month commencing with the June 2006 revenue month in accordance with KPSC order dated November 6, 2003 in Case No. 2003-00386. This filing is based on supplier tariff rates expected to be in effect on May 31,2006 and the NYMEX on May 9,2006 for the month of June 2006.

The above described schedules and GCA are effective with the final meter readings of District 1, June 2006, revenue month (i.e., final meter readings on and after May 31,2006).

Duke's proposed GCA is $9.528 per Mcf. This rate represents a decrease of $0.142 per Mcf from the rate currently in effect for May 2006.

Please stamp "FILED" on the additional enclosed copy and return for our file. Thank you.

Very truly yours,

Robert P. Butts, Jr.

Enclosure

DUKE ENERGY CORPORATION p Duke #Energy,

139 East Fourth Street P 0 Box 960 C~ncrnnati, OH 45201-0960

May 1 1,2006


Dear Ms. O'Donnell:

Enclosed for filing are an original and four (4) conformed copies of Duke Energy Kentucky's ("Duke") "Monthly Report of Gas Cost Calculations and Tariff Schedules," for the month commencing with the June 2006 revenue month in accordance with KPSC order dated November 6, 2003 in Case No. 2003-00386. This filing is based on supplier tariff rates expected to be in effect on May 31,2006 and the NYMEX on May 9,2006 for the month of June 2006.

The above described schedules and GCA are effective with the final meter readings of District 1, June 2006, revenue month (i.e., final meter readings on and after May 3 1,2006).



Very truly yours,


Enclosure

DUKE ENERGY CORPORATION p Duke #Energy, 139 East Fourth Street

P.O. Box 960 Cincinnati, OH 45201-0960

May 1 1,2006


Dear Ms. O'Donnell:

Enclosed for filing are an original and four (4) conformed copies of Duke Energy Kentucky's ("Duke") "Monthly Report of Gas Cost Calculations and Tariff Schedules," for the month commencing with the June 2006 revenue month in accordance with KPSC order dated November 6, 2003 in Case No. 2003-00386. This filing is based on supplier tariff rates expected to be in effect on May 3 1,2006 and the NYMEX on May 9,2006 for the month of June 2006.

The above described schedules and GCA are effective with the final meter readings of District 1, June 2006, revenue month (i.e., final meter readings on and after May 31,2006).



Very truly yours,


Enclosure

bcc: A. Hartkemeyer F.U. 06-08-06

DUKEENERGYKENTUCKY GAS COST ADJUSTMENT CLAUSE

QUARTERLYREPORT

GAS COST RECOVERY RATES EFFECTIVE FROM MAY 31,2006 THROUGH JUNE 26.2006

I DESCRIPTION UNIT AMOUNT I I I EXPECTEDGASCOST(EGC) $/MCF 9.142 SUPPLIER REFUND ADJUSTMENT (RA) $IMCF (0.004) . . ACTUAL ADJUSTMENT (AA) $/MCF 0.367' BALANCE ADJUSTMENT (BA) $IMCF 0.023 GAS COST RECOVERY RATE (GCR) = EGC + RA + AA +BA $/MCF 9.528

EXPECTED GAS COST CALCULATION I I I DESCRIPTION UNIT AMOUNT I

SUPPLIER REFUND ADJUSTMENT CALCULATION I I I DESCRIPTION UNIT AMOUNT I I I CURRENT QUARTER SUPPLIER REFUND ADJ. $/MCF 0.000 PREVIOUS QUARTER REPORTED SUPPLIER REFUND ADJ. $/MCF 0.000 SECOND PREVIOUS QUARTER REPORTED SUPPLIER REFUND ADJ. $/MCF 0.000 THIRD PREVIOUS QUARTER REPORTED SUPPLIER REFUND ADJ. $/MCF (0.004) SUPPLIER REFUND ADJUSTMENT (RA) $/MCF (0.004)

ACTUAL ADJUSTMENT CALCULATION I I I DESCRIPTION UNIT AMOUNT I I I CURRENTQUARTERACTUALADJUSTMENT $/MCF (0.073) PREVIOUS QUARTER REPORTED ACTUAL ADJUSTMENT $/MCF 0.873 SECOND PREVIOUS QUARTER REPORTED ACTUAL ADJUSTMENT $/MCF (0.013) THIRD PREVIOUS QUARTER REPORTED ACTUAL ADJUSTMENT $/MCF (0.420)

ACTUAL ADJUSTMENT (AA) $/MCF 0.367

BALANCE ADJUSTMENT CALCULATION I I I DESCRIPTION UNIT AMOUNT I I I CURRENTQUARTERBALANCEADJUSTMENT $/MCF 0.040 PREVIOUS QUARTER REPORTED BALANCE ADJUSTMENT $/MCF (0.004) SECONDPREVIOUSQUARTERREPORTEDBALANCEADJUSTMENT $/MCF (0.023) THIRD PREVIOUS QUARTER REPORTED BALANCE ADJUSTMENT $/MCF 0.010 BALANCE ADJUSTMENT (BA) $/MCF 0.023

THIS QUARTERLY REPORT FILED PURSUANT TO ORDER NO. 8373 OF THE KENTUCKY PUBLIC SERVICE COMMISSION DATED APRIL 16, 1982.

DATE FILED: Mav 11.2006 BY: PAUL G. SMITH

TITLE: VICE-PRESIDENT. RATES

GAS COST ADJUSTMENT DUKE ENERGY KENTUCKY

EXPECTED GAS COST RATE CALCULATION (EGG)

Schedule I Page I of 4

"SUMMARY" FOR THE EGC RATE IN EFFECT AS OF MAY 31,2006

DEMAND (FIXED) COSTS:

Columbia Gas Transmission Corp. Tennessee Gas Pipeline Columbia Gulf Transmission Corp. K 0 Transmission Company Gas Marketers

TOTAL DEMAND COST:

PROJECTED GAS SALES LESS SPECIAL CONTRACT IT PURCHASES: 11,752,201 MCF

DEMAND (FIXED) COMPONENT OF EGC RATE: $5,691.021 I 11,752.201 MCF $0.484 IMCF

COMMODITY COSTS:

Gas Marketers Gas Storage

Columbia Gas Transmission Propane

COMMODITY COMPONENT OF EGC RATE:

TOTAL EXPECTED GAS COST:

$8.658 IMCF

$0.000 IMCF $0.000 IMCF $8.658 IMCF

$9.142 IMCF

SCHEDULE I PAGE 2 OF 4

GAS COST ADJUSTMENT DUKEENERGYKENTUCKY

DETAILS FOR THE EGC RATE IN EFFECT AS OF : MAY 31,2006

CONTRACT NUMBER EXPECTED I RATE VOLUME OF GAS COST

( $ DTH) (DTH) DAYSIMTHS ( $ 1

INTERSTATE PIPELINE : COLUMBIA GAS TRANSMISSION CORP. TARIFF RATE EFFECTIVE DATE : FSS: 2/1/2006

SST: 4/1/2006

BILLING DEMAND - TARIFF RATE - FSS Max. Daily Withdraw1 Quan. 1.5000 39,656 Seasonal Contract Quantity 0.0288 1,365,276

BILLING DEMAND - 1-ARIFF RATE - SST Maximum Daily Quantity 3.9630 39,656 Maximum Daily Quantity 3.9630 19,828

CAPACITY RELEASE CREDIT

TOTAL COLUMBIA GAS TRANSMISSION CORP. DEMAND CHARGES

INTERSTATE PIPELINE : TENNESSEE GAS PIPELINE TARIFF RATE EFFECTIVE DATE : NOT APPLICABLE

BILLING DEMAND -TARIFF RATE - FT Max. Daily Quantity Zone 1-2 3.9371 47,500

CAPACITY RELEASE CREDIT

TOTAL TENNESSEE GAS PIPELINE DEMAND CHARGES

Columbia Gas Transmission Corporation Twenty-first Revised Sheet No. 29 FERC Gas Tariff Superseding Second Revised Volume No. 1 Twentieth Revised Sheet No. 29

I I Currently Effective Rates lpplicable to Rate Schedule FSS, 1SS. and SIT Rate Per 0th

TranSpOPtdtion Cost Electric Power Annual Total Base Rate Adjustment Costs Adjustment Charge Effective Daily

Tariff Rate Current Surcharge Current Surcharge Adjustment Rate Rate 1 1 2 1

Rate schedule(iiS) Reservation Charge 5 1.500

Capacity lnjectian

Wi thdrlridl Overrun

Rate Schedule 1SS COmmodi ty

Maximum 0 5.92 Minimum 0 0.00

injection Q 1.53 Wi thdrawdl G 1.53

Rate Schedule SIT Commodi ty

Maximum 0 4.11 - 4.11 4 . 1 1 Minimum 0 1.53 - 1.53 1.53

11 Excludes Account 858 expenses and Electric Porter Casts which are recovered through Columbia's Transportation Costs Rate Adjustment tlCRflJ 2nd Electric Power Carts Adjustment (EPCAl. respectively.

2 1 ACd a~s?ssed where applicable pursuant to Section 154.402 of the Commisiion's Regulations.

Issued by: Carl W . Levander, Vice President Issued on: December 30. 2005 EffectSve: February 1, 2006

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Tennessee Gas Pipeline enEl Peso oompany

July 22,2004

Union Light, Heat & Power Company 139 East Fourth Street, EM025 P.O. Box 960 Cincinnati, OH 45202

Attention: Mr. Jim Henning

RE: Firm Transportation Discount Tennessee FT.A Seryice Package No. 46876 Open Season # 443

Dear Jim:

In response to the request of Union Light, Heat & Power Company ("ULH&P), and pursuant to Section 5.1 of Tennessee Gas Pipeline Company's (Tennessee) FT-A Rate Schedule, Tennessee hereby agrees to adjust its then applicable FT-A Transportation rate for FT-A service provided under the above referenced contract as follows:

1. a) If ULH&P, its assignee(s) or its agent(s) (hereinafter collectively referred to as 'ULH&P") violates the terms of this agreement or the terms of the above-referenced service package, Tennessee shall have the right, in its sole discretion, to immediately terminate this discount agreement andlor assess, from the date of the violation, the maximum Tennessee monthly reservation rate for the entire contract quantity and the maximum daily commodity rates on all transactions occurring under this agreement.

b) For the period commencing November 1, 2004, and extending through April 30, 2005, for gas delivered bv Tennessee on behalf of ULH&P to TCO North Means (Meter # 020049) under the above refeknced service package, the applicable FT-A rates for vol"'mes received by'~ennessee from any Zone 1 100 leg or Zone Lor 1 500 leg receipt point, will be the lesser of:

i) A monthly resewation rate of $4.10 per Dth and a daily commodity rate of Tennessee's maximum daily commodity rate. These rates are inclusive of surcharges.

ii) Tennessee's maximum monthly FT-A reservation and maximum daily commodity rates.

In addition, ULH&P will pay applicable fuel and lost and unaccounted for charges.

c) For the period commencing May 1, 2005, and extending through September 30, 2005, for gas delivered by Tennessee on behalf of ULH&P to TCO North Means (Meter # 020049) under the above referenced service package, the applicable FT-A rates for volumes received by Tennessee from any Zone 1 100 leg or Zone L or 1 500 leg receipt point, will be the lesser of:

i) A monthly reservation rate of $ 0.0000 per Dth and a daily commodity rate of Tennessee's maximum daily commodity rate. These rates are inclusive of surcharges.

ii) Tennessee's maximum monthly FT-A reservation and maximum daily commodity rates Tennessee Gas Pipeline NineGresnwayPiaza Houslon,Texas 77046 tel 832.676.2600




CONTRACT NUMBER EXPECTED RATE VOLUME OF GAS COST

( $ DTH) (DTH) DAYSIMTHS ( $ )

INTERSTATE PIPELINE : COLUMBIA GULF TRANSMISSION CORP. TARIFF RATE EFFECTIVE DATE : FTS-1: 4/1/2006

FTS-2: 4/1/2006

BILLING DEMAND -TARIFF RATE - FTS-1 Maximum Daily Quantity 3.1450 22,500 Maximum Daily Quantity 3.1450 22,782 Maximum Daily Quantity 3.1450 17,598

BILLING DEMAND -TARIFF RATE - FTSQ Maximum Daily Quantity 0.9995 15,000 Maximum Daily Quantity 0.9995 15,000

CAPACITY RELEASE CREDIT FOR FTS-1 CAPACITY RELEASE CREDIT FOR FTS-2

TOTAL COLUMBIA GULF TRANSMISSION CORP. DEMAND CHARGES

INTERSTATE PIPELINE : KO TRANSMISSION COMPANY TARIFF RATE EFFECTIVE DATE : 4/1/2006

BILLING DEMAND -TARIFF RATE - FT Maximum Daily Quantity

CAPACITY RELEASE CREDIT 0

TOTAL KO TRANSMISSION CO. DEMAND CHARGES 307,584

VARIOUS GAS MARKETERS FIXED (RESERVATION) CHARGES :

November - March 0.022 7,621,216 December - February 0.4183 51 3.000

TOTAL GAS MARKETERS FIXED CHARGES

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0 c * i

w L GI i a, O I , c C J m .- G

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KO Transmission Company FERC Gas Tariff Eighteenth Revised Sheet No. 10 Original Volu~ne No. I Superseding Scventeenlh Ilevised Sheet No. 10

CURRENTLY EFFECTIVE RATES APPLICABLE TO RATE SCHEDULES FTS AND ITS

RATE LEVELS - RATE PER DTH

Base Tariff Rate

RATE S C H E D U L ~ Reservation Charge 21

Maximum 1 (GQ Maximum 2 $0.3560

Daily Rate - Maximum 1 $0.01 17 Daily Rate - Maximum 2 $0.0117

Annual Total Charge Effective

Adjustment Rate 11

Commodity Maximum $0.0000 $0.001 8 $0.0018 Mini~nu~n $0.0000 $0.0018 $0.0018

Overrun $0.0117 $0.0018 $;0.0135

RATE SCHEDULE ITS Commodity

Maximurn $0.0117 $0.001 8 $0.0135 Minimurn $0.0000 $0.0018 $0.0018

I1 ACA assessed where applicable pursuant to Section 154,402 of the Commission's regulations and will be charged pursuant to Section 23 of the General Terms and Conditions at such time that initial and successive annual ACA assessments applicable to Transporter are made.

21 Minimum reservation charge is $0.00.

Transportation Retainage Adjustment 0.5 1 %

NOTE: Utilizing GlSB standards 5.322 and 5.323. Tiaiispancr's Rate Schedule FTS Reservation Cllarge can be converted to 80

applicable daily rate by dividing the above monthly rate by 30.4 days.

Issued by: William A. Tucker Effective: October 1, 2005 Issued on: August 22,2005

THE UNION LIGHT, HEAT & POWER COMPANY TOTAL RESERVATION COSTS FROM FIRM SUPPLIERS

ESTIMATED FOR EGC EFFECTIVE 61112006

TOTAL ANNUAL RESERVATION COST:

TOTAL DOLLARS

TOTAL ANNUAL COVERAGE:

C I N GATE VOLUMES

CALCULATED RATE:

7,621,216 DTH (2)

$ 0.0220 PER DTH

(1) Reservation charges billed by firm suppliers for 2005 - 2006. (2) Contracted volumes for the 2005 - 2006 winter season.

THE UNION LIGHT, HEAT & POWER COMPANY TOTAL RESERVATION COSTS FROM NEEDLE PEAKING SUPPLIERS

ESTIMATED FOR EGC EFFECTIVE 6/112006

TOTAL ANNUAL RESERVATION COST:

TOTAL DOLLARS $ 214,605 (1)

TOTAL ANNUAL COVERAGE:

C l W GATE VOLUMES

CALCULATED RATE:

513,000 DTH (2)

$ 0.4183 PER DTH

(1) Reservation charges billed by needle peaking suppliers for 2005 - 2006. (2) Contracted volumes for the 2005 - 2006 winter season.




GAS COMMODITY RATE FOR JUNE, 2006:

GAS MARKETERS : WEIGHTED AVERAGE GAS COST O CITY GATE ($/Dthf (I): - DUKE ENERGY KENTUCKY FUEL 1.800% $0.1479 $8.3661 $/Dth DTH TO MCF CONVERSION 1.0349 $0.2920 $8.6581 $/Mcf ESTIMATED WEIGHTING FACTOR 1.0000 $8.6581 $/Mcf

GAS MARKETERS COMMODITY RATE $8.658 $IMcf

GAS STORAGE : COLUMBIA GAS TRANS. -STORAGE INVENTORY RATE $7.6727 $/Dth COLUMBIA GAS TRANS. FSS WITHDRAWAL FEE $0.0153 $7.6880 $/Dth COLUMBIA GAS TRANS. SST FUEL 2.083% $0.1601 $7.8481 $/Dth COLUMBIA GAS TRANS SST COMMODITY RATE $0.0154 $7.8835 $/Dth KO TRANS, COMMODITY RATE $0.0135 $7.8770 $/Dth DUKEENERGYKENTUCKYFUEL 1.800% $0.1418 $8.0188 $/Dth DTH TO MCF CONVERSION 1.0349 $0.2799 $8.2987 $/Mcf ESTIMATED WEIGHTING FACTOR 0.0000 $0.0000 $/Mcf

GAS STORAGE COMMODIN RATE - COLUMBIA GAS $0.000 $IMcf

PROPANE : ERLANGER PROPANE INVENTORY RATE $0.34268 $/Gallon GALLON TO MCF CONVERSION 14.84 $4.7427 $5.0854 $/Mcf ESTIMATED WEIGHTING FACTOR 0.0000 $0.0000 $/Mcf

PROPANE COMMODITY RATE $0.000 $IMcf

(1) Weighted average cost of gas based on NYMEX prices on 5/9/06 and contracted hedging prices.

GAS COST ADJUSTMENT CLAUSE DUKE ENERGY KENTUCKY

SCHEDULE ll

SUPPLIER REFUND ADJUSTMENT DETAILS FOR THE THREE MONTH PERIOD ENDED FEBRUARY 28, 2006

DESCRIPTION UNIT AMOUNT

SUPPLIER REFUNDS RECEIVED DURING THREE MONTH PERIOD DECEMBER 1, 2005 THROUGH FEBRUARY 28, 2006

INTEREST FACTOR (REFLECTING 90 DAY COMMERCIAL PAPER RATE)

REFUNDS INCLUDING INTEREST ( $0.00 xl.0188 )

DIVIDED BY 12 MONTH PROJECTED SALES ENDED MAY 31,

CURRENT SUPPLIER REFUND ADJUSTMENT

$ 0.00

1.0188

$ 0.00

MCF 11,774.216

$/MCF 0.000

DETAILS OF SUPPLIER REFUNDS RECEIVED DURING THE THREE MONTHS ENDED FEBRUARY 28, 2006


SUPPLIER There were no refunds received during the quarter ending February 28,2006. $

TOTAL REFUNDS APPLICABLE TO THE CURRENT GCA RAU

GAS COST ADJUSTMENT CLAUSE DUKE ENERGY KENTUCKY

ACTUAL ADJUSTMENT DETAILS FOR THE THREE MONTH PERIOD ENDED

SCHEDULE 111

FEBRUARY 28, 2006

DESCRIPTION UNIT DECEMBER JANUARY FEBRUARY

SUPPLY VOLUME PER BOOKS

PRIMARY GAS SUPPLIERS UTILITY PRODUCTION INCLUDABLE PROPANE OTHER VOLUMES (SPECIFY) ADJUSTMENT

MCF MCF MCF MCF

TOTAL SUPPLY VOLUMES MCF

SUPPLY COST PER BOOKS

PRIMARY GAS SUPPLIERS SPECIAL PURCHASES CREDIT

X-5 TARIFF TRANSPORTATION SERVICE "UNACCOUNTED FOR GAS COST CREDIT LOSSES - DAMAGED LINES TRANSPORTATION TAKE-OR-PAY RECOVERY SALES TO REMARKETERS

TOTAL SUPPLY COSTS

SALES VOLUMES

JURISDICTIONAL NON-JURISDICTIONAL OTHER VOLUMES (SPECIFY):

MCF MCF MCF

TOTAL SALES VOLUMES MCF

UNlT BOOK COST OF GAS (SUPPLY $ I SALES MCF) LESS: EGC IN EFFECT FOR THE MONTH

DIFFERENCE TIMES: MONTHLY JURISDICTIONAL SALES

EQUALS MONTHLY COST DIFFERENCE

NET COST DIFFERENCE FOR THE THREE MONTH PERIOD

$/MCF MCF

TOTAL COST USED IN THE CURRENT AA CALCULATION $

DIVIDED BY: 12 MONTH PROJECTED SALES ENDED MAY 31. 2007 MCF

EQUALS CURRENT QUARTERLY ACTUAL ADJUSTMENT $/MCF

GAS COST ADJUSTMENT CLAUSE DUKEENERGYKENTUCKY

BALANCEADJUSTMENT DETAILS FOR THE TWELVE MONTH PERIOD ENDED FEBRUARY 28. 2006

SCHEDULE lV


RECONCILIATION OF A PREVIOUS GAS COST VARIANCE

GAS COST DIFFERENCE TO BE RECOVERED FROM OR (RETURNED TO) CUSTOMERS WHICH WAS USED TO COMPUTE THE "AA" EFFECTIVE MARCH 1, 2005

LESS: AMOUNT RECOVERED (RETURNED) BY THE AA OF $ 0.362 /MCF APPLIED TO TOTAL SALES OF 10,132.095 MCF (TWELVE MONTHS ENDED FEBRUARY 28, 2006 ) $ 3,667,818.37

BALANCE ADJUSTMENT FOR THE "AA" $ 474.41 1.63

RECONCILIATION OF A PREVIOUS SUPPLIER REFUND

SUPPLIER REFUND AMOUNT TO BE DISTRIBUTED TO CUSTOMERS WHICH WAS USED TO COMPUTE THE "W EFFECTIVE MARCH 1, 2005

LESS: AMOUNT DISTRIBUTED BY THE "W OF $ 0.000 /MCF APPLIED TO TOTAL SALES OF 10.132.095 MCF (TWELVE MONTHS ENDED FEBRUARY 28, 2006 )

BALANCE ADJUSTMENT FOR THE "W

RECONCILIATION OF A PREVIOUS BALANCE ADJUSTMENT

AMOUNT TO BE RECOVERED FROM OR (RETURNED TO) CUSTOMERS WHICH WAS USED TO COMPUTE THE "BA" EFFECTIVE MARCH 1 2005

LESS: AMOUNT RECOVERED (RETURNED) BY THE "BAN OF $ (0.004) IMCF APPLIED TO TOTAL SALES OF 10,132.095 MCF (TWELVE MONTHS ENDED FEBRUARY 28. 2006 )

BALANCE ADJUSTMENT FOR THE "BA"

TOTAL BALANCE ADJUSTMENT AMOUNT

DIVIDED BY: TWELVE MONTHS SALES ENDED MAY 31,

EQUALS: CURRENT QUARTER BALANCE ADJUSTMENT

BAU

$ 26.16

$ 473,535.97

MCF 11,774.216

$/MCF 0.040

Revised Tariff Schedules

KY.P.S.C. Gas No. 1 Second Revised Sheet No. 10

Duke Energy Kentucky Cancelling and Superseding 1697-A Monmouth Street First Revised Sheet No. 10 Newport, Kentucky 41071 Page 1 of 2

Billing Sheet Effective Effective Date Flo. Date per Order

SERVICE REGULATIONS Service Agreements ... ... ... ......... ... ... ... ... ... . .. . .. ... ... ... ... ... ... ...... Supplying and Taking of Service Customer's Installation Company's Installation

n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .... . . . . . . . . . . . . . . . . . . . .

FIRM SERVICE TARIFF SCHEDULES Rate RS, Residential Sewice ... .......................... Rate GS, General Sewice ............ .. ...... ...... ... ... ... ... ... ...... ... .... Reserved for Future Use ... ... ... ... ... ... ... ... .. ........ ..... ... ... ... ... ...... Resewed for Future Use ......................................................... Resewed for Future Use Resewed for Future Use Reserved for Future Use .................... .... .............................. Reserved for Future Use Reserved for Future Use ........................................................ Reserved for Future Use Resewed for Future Use Resewed for Future Use ................ .. .... .. ............................. Resewed for Future Use ................... .. ................................. Reserved for Future Use Rate FRAS, Full Requi Resewed for Future Us Reserved for Future Us Resewed for Future Us Reserved for Future Use Resewed for Future use .... .. ... ... ...... ... ... ...... .. .... ... ... ...... ... ...... TRANSPORTATION TARIFF SCHEDULE Rate IT, Interruptible Transportation Sewice

Purchased Sewice ... ... ... ....... .... ... ... ....... ............... ...... ... ... Summer Minimum Sewice ........................ .. .... ... ................. Unauthorized Delivery ............... ... .. .... ... ... ...... .......

Rate FT-L, Firm Transportation Service ... ... ... ......... ... ... ...... ... ... . FT Bills - No GCR FT Bills - With GC FT - Interruptible B . . . . . . . . . . . . . FT - Interruptible Bills - GCRT on FT Under 1 Year ................

Reserved for Future Us

Issued by authority of an Order of the Kentucky Public Service Commission in Case No.

Issued: Effective: May 31, 2006

Issued by Sandra P. Meyer, President



INDEX TO APPLICABLE GAS TARIFF SCHEDULES AND COMMUNITIES SERVED (Contd.)

Billing Sheet Effective Effective Date No. Date per Order

TRANSPORTATION TARIFF SCHEDULES (Contd.) Rate SSIT, Spark Spread Interruptible Transportation Rate ...... 53 04/03/06 04/03/06 Resewed for Future U 54 Rate AS, Pooling Sew 55 04/03/06 04/03/06 Resewed for Future Us 56 Rate GTS, Gas Trading Se 57 04/03/06 04/03/06

58 04/03/06 04/03/06 58 04/03/06 04/03/06 58 04/03/06 04/03/06 58 04/03/06 04/03/06 58 04/03/06 04/03/06

e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59 04/03/06 04/03/06

Rider X. Main Extension Policv Rider DSM, Demand S~de ~ a k a ~ e m e n t Cost Recovery Program 61 04/03/06 04/03/06 Rider DSMR. Demand Side Management Rate . . . . .. .... ....... 62 04/03/06 04/03/06 Rider AMRP. Accelerated Main Replacement Program Rider . . . . . . 63 04/03/06 04/03/06 Resewed for Future Us Resewed for Future Use ...... ... ......... ... ............ ... Resewed for Future Us Resewed for Future Us Resewed for Future Us Resewed for Future Us

GAS COST RECOVERY RIDERS Gas Cost Adjustment Claus Resewed for Future Use . . .... . ...... . . . Resewed for Future Use Resewed for Future Use Resewed for Future Use Resewed for Future Use Resewed for Future Use ... ... ... ... ... ... ................ ... ... ... ... .., ... . Rider GCAT, Gas Cost Ad'ustment Transition Rider ...... ... ... ..... Resewed for Future Use Resewed for Future Use

MISCELLANEOUS

Local Franchise Fe

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Resewed for Future Use Resewed for Future Use ... ..................................................

lssued by authority of an Order of the Kentucky Public Sewice Commission in Case No.

Issued: Effective: May 31,2006

lssued by Sandra P. Meyer, President

W.P.S.C. Gas No. 1 Second Revised Sheet No. 30


RATE RS

RESIDENTIAL SERVICE

APPLICABILITY Applicable to firm natural gas service, which is comprised of commodity gas supply and local delivery service, required for all domestic purposes in private residences, single occupancy apartments, and common use areas of multi-occupancy buildings, when supplied at one point of delivery where distribution mains are adjacent to the premises to be served.

NET MONTHLY BILL The Net Monthly Bill is determined as follows: All gas is billed in units of 100 cubic feet (CCF)

Customer Charge per month: Plus the applicable charge per month as set forth on Sheet No. 63, Rider AMRP, Accelerated Main Replacement Program

Delivery Gas Cost Rate - Adiustment Total Rate

Plus a commodity Charge for all CCF at $0.26687 plus $0.91420 Equals $1.18107

Plus, all delivered gas shall be subject to an adjustment per CCF as set forth on: Sheet No. 62, Rider DSMR, Demand Side Management Rate. In addition, the EAP charge shown on Rider DSMR shall be added to the monthly Customer Charge shown above.

The "Customer Charge" shown above plus Rider AMRP shall be the minimum amount billed each month.

The "Gas Cost Adjustmenl' as shown above, is an adjustment per 100 cubic feet determined in accordance with the "Gas Cost Adjustment Clause" set forth on Sheet No. 70 of this tariff.

When bills are rendered less frequently than monthly the time related units such as cubic feet blocks, minimum or other charges, will be billed in accordance with the number of billing months in the meter reading interval.

LATE PAYMENT CHARGE Payment of the Net Monthly Bill must be received in the Company's office within twenty-one (21) days from the date the bill is mailed by the Company. When not so paid, the Gross Monthly Bill, which is the Net Monthly Bill plus 5%, is due and payable.

SERVICE REGULATIONS The supplying of, and billing for, service and all conditions applying thereto, are subject to the jurisdiction of the Kentucky Public Service Commission and to Company's Service Regulations currently in effect, as filed with the Kentucky Public Service Commission, as provided by law.

Issued by authority of an Order of the Kentucky Public Service Commission, dated in Case No. Issued: Effective: May 31,2006



Duke Energy Kentucky Cancelling and Superseding 16974 Monmouth Street First Revised Sheet No. 31 Newport, Kentucky 41071 Page 1 of 1

RATE GS

GENERAL SERVICE APPLICABILITY

Applicable to firm natural gas service, which is comprised of commodity gas supply and local delivery service, required for any purpose by an individual non-residential customer at one location when supplied at one point of delivery where distribution mains are adjacent to the premises to be served. This schedule is also applicable to non-metered natural gas commodity supplies and locai delivery service for street lighting to such entities as certificated homeowners associations, businesses, and federal, state, and local governments. The Company may decline requests for service under this tariff due to gas supply limitations.

NET MONTHLY BILL The Net Monthly Bill is determined as follows: All gas is billed in units of 100 cubic feet (CCF)

Customer Charge per month: $30.00 Plus the applicable charge per month as set forth on Sheet No. 63. Rider AMRP, Accelerated Main Replacement Program

Delivery Gas Cost Rate - Adiustment Total Rate

Plus a Commodity Charge for ail CCF at $0.20949 Plus $0.91420 Equals $1.12369

(R)

Plus all delivered gas shall be subject to an adjustment per CCF as set forth on: Sheet No. 62, Rider DSMR, Demand Side Management Rate for non-residential service

The "Customer Charge" shown above plus Rider AMRP shall be the minimum amount billed per month.

The "Gas Cost Adjustment," as shown above, is an adjustment per 100 cubic feet determined in accordance with the "Gas Cost Adjustment Clause" set forth on Sheet No. 70 of this tariff.

When bills are rendered less frequently than monthly the time related units such as cubic feet blocks, minimum bills or other charges, will be billed in accordance with the number of billing months in the meter reading interval.

LATE PAYMENT CHARGE Payment of the Net Monthly Bill must be received in the Company's office within twenty-one (21) days from the date the bill is mailed by the Company. When not so paid, the Gross Monthly Bill, which is the Net Monthly Bill plus 5%, is due and payable.

TERM OF SERVICE One year, terminable thereafter on ten (10) days written notice by either customer or Company

SERVICE REGULATIONS The supplying of, and billing for, service and all conditions applying thereto, are subject to the jurisdiction of the Kentucky Public Service Commission, and to Company's Service Regulations currently in effect, as filed with the Kentucky Public Service Commission as provided by law.

Issued by authority of an Order of the Kentucky Public Service Commission dated in Case No.

Issued: Effective: May 31,2006 Issued by Sandra P. Meyer, President

KY.P.S.C. Gas No. 1 First Revised Sheet No. 77

Duke Energy Kentucky Cancelling and Superseding 1697-A Monmouth Street Original Sheet No. 77 Newport, Kentucky 41071 Page 1 of 1

RIDER GCAT

GAS COST ADJUSTMENT TRANSITION RIDER

APPLICABILITY Applicable to all customers served under Rate FT-L after the effective date of this tariff who paid gas supply costs through the Company's Gas Cost Adjustment (GCA) mechanism during the twelve month period immediately preceding the date on which the customer began receiving service under Rate FT-L.

GCA TRANSITION RIDER A charge or credit shall be applied to all volumes transported pursuant to Rate FT-L in order to pass through to former GCA customers the Company's quarterly Actual Adjustment (AA), Balance Adjustment (BA), and Supplier Refund and Reconciliation Adjustment (RA) costs or credits during the first twelve months that the former sales customer participates in the Company's firm transportation program.

The amount of this charge or (credit) shall be $0.03860 per 100 cubic feet. This rate shall be in effect (R) during the month of June 2006 through August 2006 and shall be updated quarterly, concurrent with the Company's GCA filings.

Issued by authority of an Order of the Kentucky Public Service Commission dated in Case No.

Issued: Effective: May 31, 2006


THE UNION LIGHT, HEAT AND POWER COMPANY SUPPLEMENTAL INFORMATION

FOR THE EXPECTED GAS COST (EGC) RATE CALCULATION OF THE GAS COST RECOVERY RATE

IN EFFECT AS OF MAY 31,2006

2ND QUARTER INT

DUKEENERGYKENTUCKY USED FOR GCA EFFECTIVE MAY 31,2006 COMPUTATION OF THE INTEREST FACTOR FOR THE GCACALCULATION ON SCHEDULE II

TWELVE MONTHS ENDED MARCH 31,2006 BLOOMBERG REPORT (90-DAY COMMERCIAL PAPER RATES)

INTEREST RATE

PAYMENT

ANNUAL TOTAL

MONTHLY INTEREST 0.002883

AMOUNT 1

PRIOR ANNUAL TOTAL 45.64

PLUS CURRENT MONTHLY RATE 4.83

LESSYEARAGORATE 2.93

NEW ANNUAL TOTAL 47.54

AVERAGE ANNUAL RATE 3.96

LESS 0.5% (ADMINISTRATIVE) 3.46

MARCH 2005 APRIL 2005 MAY 2005 JUNE 2005 JULY 2005 AUGUST 2006 SEPTEMBER 2005 OCTOBER 2005 NOVEMBER 2005 DECEMBER 2005 JANUARY 2006 FEBRUARY 2006 MARCH 2006

THE UNION LIGHT, HEAT AND POWER COMPANY DETERMINATION OF TOTAL SUPPLY COST

MONTH OF DECEMBER, 2005

DESCRIPTION

TOTAL AMOUNT ROUNDED

PRIMARY GAS SUPPLY COST $ current month 26,732,976.88 adjustments (1 10,178.72) IT monthly charges entered by Gas Supply (85,156.59) 26,537,642

LESS: RATE SCHEDULE CF CREDIT current month adjustments

PLUS: INCLUDABLE PROPANE alc 728-3 Erlanger

LESS: X-5 TARIFF

LESS CMT MANAGEMENT FEE

LESS: TOP TRANSP. RECOVERIES 0.00 0

LESS: GAS LOSSES - DAMAGED LINES 7,779.57 (7,780)

LESS: GAS SOLD TO REMARKETERS adjustments

LESS: GAS COST CREDIT 0.00 0

LESS: FIRM TRANSPORTATION ADJUSTMENTS current month 0.00 adjustments 0.00 0

TOTAL SUPPLY COSTS

ACCOUNTING ENTRY FOR DEFERRAL ONLY AMOUNT

,ACCOUNT 191-40 ACCOUNT 805-10

0511 0106

P U R C H A S E D G A S A D J U S T M E N T SCHEDULE Ill

COMPANY NAME: THE UNION LIGHT, HEAT AND POWER COMPANY

A C T U A L A D J U S T M E N T

DETAILS FOR THE MONTH DECEMBER, 2005

MONTH PARTICULARS - UNIT DECEMBER, 2005


Primary Gas Suppliers Utility Production Includable Propane Other Volumes (Specify) - Previous Month Adj.

TOTAL SUPPLY VOLUMES


Primary Gas Suppliers Includable Propane Other Cost (Specify) - Gas Cost Credit

- Unacct'd for Transp. - CF Credit - X-5 Tariff - CMT Management Fee - Losses-Damaged Lines - Gas Sold to Remarketers -TOP Transp. Recoveries

TOTAL SUPPLY COST

SALES VOLUMES

Jurisdictional Non-Jurisdictional Other Volumes (Specify) -

TOTAL SALES VOLUME

MCF MCF MCF MCF

MCF

MCF 1,744,147.0 MCF MCF

MCF 1,744,147.0

UNIT BOOK COST OF GAS (SUPPLY $1 SALES MCF) $IMCF 15.201 LESS: EGC IN EFFECT FOR MONTH $IMCF 12.207

DIFFERENCE 51MCF 2.994 TIMES: MONTHLY JURISDICTIONAL SALES MCF 1,744,147.0

MONTHLY COST DIFFERENCE 5 5,221,976.12

0511 0106 THE UNION LIGHT, HEAT AND POWER COMPANY

DECEMBER, 2005

A ~ ~ l i e d MCF Sales Amount $IMCF

GAS FUEL ADJUSTMENT BILLED EGC 1,744,147.0 21,290,631.62 12.20690207 R A (1 0,436.66) AA (1 94.68) B A 61,180.59

TOTAL GAS COST RECOVERY(GCR) 21,341,180.87

TOTAL SALES VOLUME 1,744.147.0 LESS: NON-JURISDICTIONAL SALES 0.0

JURISDICTIONAL SALES 1,744,147.0

PROOF OF UNRECOVERED PURCHASED GAS COST ENTRY

SUPPLIER COST - CURRENT MONTH 1,744,147.0 26,512,588.00 15.20089075 UNRECOVEREDPURCHASEDGASCOST (5,222,170.80) ROUNDlNG(ADD/(DEDUCT)) 19.75

TOTAL GAS COST IN REVENUE 21,290,436.95

TOTAL GAS COST RECOVERY(GCR) LESS: RA

B A

PLUS: COST OF NON-JURISDICTIONAL SALES

UNRECOVERED PURCHASED GAS COST ENTRY (5,222,170.80) LESS: AA (1 94.68)

MONTHLY COST DIFFERENCE (5,221,976.1 2) EXTENDED MONTHLY COST DIFFERENCE (5,221,956.37)

ROUNDING 19.75


MONTH OF

DESCRIPTION

PRIMARY GAS SUPPLY COST current month adjustments IT monthly charges entered by Gas Supply



LESS: X-5 TARIFF


LESS: TOP TRANSP. RECOVERIES

LESS: GAS LOSSES - DAMAGED LINES


LESS: GAS COST CREDIT

LESS: FIRM TRANSPORTATION ADJUSTMENTS current month adjustments

TOTAL SUPPLY COSTS

ACCOUNTING ENTRY FOR DEFERRAL ONLY

JANUARY, 2006

TOTAL AMOUNT ROUNDED

AMOUNT

ACCOUNT 191-40 ACCOUNT 805-10

0511 0106




DETAILS FOR THE MONTH JANUARY. 2006

PARTICULARS


Primary Gas Suppliers Utility Production Includable Propane Other Volumes (Specify) - Previous Month Adj



Primary Gas Suppliers lncludable Propane Other Cost (Specify) - Gas Cost Credit


TOTAL SUPPLY COST

SALES VOLUMES


TOTAL SALES VOLUME

UNlT -

MCF MCF MCF MCF

MCF

MCF MCF MCF

MONTH JANUARY. 2006

MCF

UNIT BOOK COST OF GAS (SUPPLY $ I SALES MCF) $IMCF 9.228 LESS: EGC IN EFFECT FOR MONTH $IMCF 12.123

DIFFERENCE $IMCF (2.895) TIMES: MONTHLY JURISDICTIONAL SALES MCF 1,826,255.8

MONTHLY COST DIFFERENCE

GAS FUEL ADJUSTMENT BILLED EGC

TOTAL GAS COST RECOVERY(GCR)


JANUARY, ZOO6

TOTAL SALES VOLUME LESS: NON-JURISDICTIONAL SALES

JURISDICTIONAL SALES

Amount


SUPPLIER COST - CURRENT MONTH 1,826,255.8 16,852,471 .OO UNRECOVERED PURCHASED GAS COST 5,286,654.72 ROUNDING(ADD/(DEDUCT)) 529.09

TOTAL GAS COST IN REVENUE 22,139.654.81


B A


UNRECOVERED PURCHASED GAS COST ENTRY 5,286.654.72 LESS: AA (355.82)

MONTHLY COST DIFFERENCE 5,287,010.54 EXTENDED MONTHLY COST DIFFERENCE 5,287,539.63

ROUNDING


MONTH OF FEBRUARY. 2006

DESCRIPTION

PRIMARY GAS SUPPLY COST current month adjustments IT monthly charges entered by Gas Supply



LESS: X-5 TARIFF


TOTAL AMOUNT

ROUNDED

LESS: TOP TRANSP. RECOVERIES 0.00 0

LESS: GAS LOSSES - DAMAGED LINES 0.00 0


LESS: GAS COST CREDIT 0.00 0

LESS: FIRM TRANSPORTATION ADJUSTMENTS current month 0.00 adjustments 0.00 0

TOTAL SUPPLY COSTS

ACCOUNTING ENTRY FOR DEFERRAL ONLY AMOUNT

ACCOUNT 191-40 ACCOUNT 805-10

0511 0106




DETAILS FOR THE MONTH FEBRUARY, 2006

PARTICULARS


Primary Gas Suppliers Utility Production Includable Propane Other Volumes (Specify) - Previous Month Adj.



Primary Gas Suppliers Includable Propane Other Cost (Specify) - Gas Cost Credit


TOTAL SUPPLY COST

SALES VOLUMES


UNlT -

MCF MCF MCF MCF

MCF

MCF MCF MCF

MONTH FEBRUARY. 2006

TOTAL SALES VOLUME MCF

UNIT BOOK COST OF GAS (SUPPLY $ I SALES MCF) $IMCF 9.844 LESS: EGC IN EFFECT FOR MONTH $/MCF 10.353

DIFFERENCE $IMCF (0.509) TIMES: MONTHLY JURISDICTIONAL SALES MCF 1,562,260.9

MONTHLY COST DIFFERENCE $ (795,190.80)

GAS FUEL ADJUSTMENT BILLED EGC


FEBRUARY, 2006

Anplied MCF Sales Amount $IMCF

TOTAL GAS COST RECOVERY(GCR) 16,164,962.49

TOTAL SALES VOLUME 1,562,260.9 LESS: NON-JURISDICTIONAL SALES 0.0

JURISDICTIONAL SALES 1,562,260.9


SUPPLIER COST - CURRENT MONTH 1,562,260.9 15,378,682.00 9.84386283 UNRECOVERED PURCHASED GAS COST 794,346.77 ROUNDlNG(ADDI(DEDUCT)) (250.68)

TOTAL GAS COST IN REVENUE 16,172,778.09


B A


UNRECOVEREDPURCHASEDGASCOSTENTRY 794,346.77 LESS: AA (844.03)

MONTHLY COST DIFFERENCE 795,190.80 EXTENDED MONTHLY COST DIFFERENCE 794,940.1 2

ROUNDING (250.68)

DUKEENERGYKENTUCKY

SUMMARY OF GAS COST RECOVERY COMPONENTS

BY BILLING CODE

EST'D. QUARTERLY RECONCILIATION ADJUSTMENT QUARTERLY ACTUAL ADJUSTMENT BALANCE ADJUSTMENT TOTAL BILLING GAS GCR

MONNR CODE COST CURRENT PREVIOUS ZND PREV 3RD PREV CURRENT PREVIOUS 2ND PREV 3RO PREV CURRENT PREVIOUS 2ND PREV 3RD PREV FACTOR

$ $ $ $ $ $ $ S $ $ S S $ $

Documents

gUBLlC SERVICE COMM~~SIOM cases/2006-00196... · 2nd Electric Power Carts Adjustment (EPCAl. respectively. 21 ACd a~s?ssed where applicable pursuant to Section 154.402 of the Commisiion's