underserved area.
(2) A natural gas distribution company may seek
authorization from the commission to recover through the
distribution system extension charge the costs of rebates or
buy down expenditures made by the company to reduce upfront
costs of in-house piping and natural gas equipment owned by
the customer.
(b) Petition.--A petition for commission approval of a
distribution system extension charge shall include:
(1) An initial tariff that includes a description of the
types of facility to be constructed, which may include
service lines, and the manner in which the costs will be
recovered through the distribution system extension charge.
(2) Testimony, affidavits, exhibits or other evidence
that demonstrates that a distribution system extension charge
is in the public interest and will facilitate economically
feasible extensions to serve an unserved or underserved area
without unreasonably burdening existing customers of the
natural gas distribution company.
(3) As a part of the initial tariff, a natural gas
distribution company may propose:
(i) The establishment of a customer contribution
amount above which some or all of the costs are to be
recovered through the distribution system extension
charge.
(ii) The establishment of a standard per-mile
extension cost for all extension projects under this
mechanism, with costs in excess of the standard to be
recovered through the distribution system extension
charge.
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