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HomeMy WebLinkAbout2009-07-29 RMLD Board of Commissioners MinutesReading Municipal Light Board of Commissioners Regular Session 230 Ash Street Reading, MA 01867 July 29, 2009 ,'tart Time of Regular Session: 7:30 p.m. End Time of Regular Session: 9:15 p.m. Attendees: Commissioners Mary Ellen O'Neill, Chairman Philip Pacino, Secretary Ellen Kearns, Commissioner Staff: Vinnie Cameron, General Manager Robert Fournier, Accounting/Business Manager Jane Parenteau, Energy Services Manager Kevin Sullivan, Engineering and Operations Manager Citizens' Advisory Board: George Hooper, Member Richard Hahn, Vice Chair Robert Soli, Commissioner Jeanne Foti, Executive Assistant Paula O'Leary, Operational Assistant REi.,EIVEO TO Wt CLpE~RK Et,M~ - G. MASS. 2Q0q AUG 21 P f ; 2 3 Introductions Chairman O'Neill introduced George Hooper who is the new Citizens' Advisory Board member representing Wilmington. Commissioner Soli asked for a point of information pertaining to the Deferred Fuel Reserve. Mr. Soli pointed out that at the last RMLD Board meeting, that Commissioner Pacino had commented that the Board had not previously seen the material on the Deferred Fuel Reserve that was the basis of Commissioner Soli's presentation. Commissioner Soli said that the chart he presented was based on material sent by Ms. Parenteau on June 9 to all the Board members. hairman O'Neill stated that Commissioner Soli had been allowed the opportunity to present his material on the Deferred - 'Fuel Reserve and that the information was handled fairly. Chairman O'Neill stressed that all material for the Board book should be received by the end of the week before the Board meeting because this ensures that all Commission members have had the opportunity to see the material. The only exception to this timeframe is if it is an emergency issue that arises after the deadline. Commissioner Pacino stated that in order to make informed decisions the material should as a matter of protocol and courtesy be placed on the agenda. The purpose of the motion to table Commissioner Soli's presentation at the June meeting was so that Commission members could do their homework and make informed decisions. Approval of June 24, 2009 Board Minutes There were requests for changes to the minutes of June 24, 2009. It was decided that the changes requested should be checked by viewing the recorded meeting tape to double check the accuracy of the requested changes. Chairman O'Neill stated that she would be meeting with the Department on these minutes. Mr. Hahn made a motion seconded by Mr. Pacino that the Regular Session meeting minutes of June 24, 2009 be tabled until the August meeting. Motion carried 4:0:1. Mr. Soli abstained. General Manager's Report Mr. Cameron reported on the following: The RMLD made a presentation at the Career Place, Trade Center in Woburn on July 10, 2009 and spoke on different aspects of the RMLD's operations. RMLD employees who participated were Priscilla Gottwald, Laurie Cavagnaro, Ken Evans and William Seldon. WILD had vehicle day at the North Reading Library Tuesday, July 28 and will be having vehicle day at the Reading Library Tuesday, August 18, 2009. Regular Session Meeting Minutes Z July 29, 2009 General Manager's Report Mr. Cameron stated that he will be discussing with legal counsel setting up a trust for post employment benefits. RMLD's portion of the funding is over $8 million for the post employment benefits. The RMLD budgeted $436,000 in 2009 and 4 $377,000 in 2010 Mr. Cameron wants to setup the OPEB Trust similar to the Retirement Trust that the RMLD has in place. Commissioner Soli asked if setting up an OPEB Trust Fund has laws associated with it? Mr. Cameron replied, "yes" that it is legal to set up an OPEB Trust Fund. Chairman O'Neill asked when the OPEB Trust Fund will be set up? Mr. Cameron replied that he would like to get the OPEB Trust Fund completed in the fall. Financial Report, June 2009 - Attachment i - Mr. Fournier Mr. Fournier reported that the auditors would be in on Tuesday, August 11, 2009. The pre audit numbers will be ready on Monday, August 10, 2009. In fiscal year 2009 there were no major incidents. Mr. Fournier reported that the bad debt is $200,000 however; historically over the last three years it has been $100,000. Commissioner Kearns expressed her concern at the doubling of the bad debt and suggested that perhaps that it should be addressed by a committee to look at other viable avenues to lower the bad debts. Mr. Fournier stated that the increase in bad debt is indicative of the times. The RMLD does everything it can do to collect monies and work with its customers. Mr. Cameron said that the increase in the bad debt is pandemic within the industry. The RMLD constantly monitors its account receivables and bad debt. The Customer Service Representatives do a great job. The RMLD is doing better than other municipals in its bad debt level. rrr Chairman O'Neill requested that Customer Service Manager, Laurie Cavagnaro be present at the next RMLD Board meeting to speak about the various programs the RMLD has to assist its customers who are having difficulty paying their electric bills. Commissioner Soli asked if the RMLD put liens on its customers who have not paid? Mr. Fournier replied that every fall the RMLD liens its customers who are not current. Once the lien is placed, the RMLD has priority on any funds received. Power Supply Report, June 2009 - Attachment 2 - Ms. Parenteau Ms. Parenteau presented the Power Supply Report for June. Ms. Parenteau explained that the RMLD's capacity requirement is 231 megawatts. Commissioner Hahn asked does the RMLD have to carry the requirement of the 231 megawatts to a future period? Ms. Parenteau replied, "yes." Commissioner Hahn asked about the 8.910 per kilowatt for the Braintree unit? Ms. Parenteau replied that this is for the Braintree unit in which the RMLD is prepaying the debt service. Ms. Parenteau said that the Braintree unit went commercial on June 25 and there will be a capital credit on July 1 for ten megawatts. Commissioner Soli asked if the Braintree unit is lower than the ISO? Ms. Parenteau explained that with the addition of the Braintree unit in the RMLD's portfolio, the RMLD will be purchasing less from the ISO Spot Market. Energy Efficiency Update -Attachment 3 - Ms. Parenteau Ms. Parenteau provided an update on the RMLD's energy efficiency activities. Regular Session Meeting Minutes July 29, 2009 Energy Efficiency Update -Attachment 3 - Ms. Parenteau 'ommissioner Soli asked if a customer has generation of solar or wind how does the net generator get billed? Ms. Parenteau replied that the net billing is in place where the RMLD can monitor the amount of energy generated and the amount of energy being sold back to the RMLD. Ms. Parenteau stressed that customers should contact Jared Carpenter prior to installing a renewable energy system. Commissioner Kearns asked if LCD or plasma televisions that have the Energy Star seal would be eligible for the program? Ms. Parenteau replied that she is not aware of televisions but would have Mr. Carpenter look into this. Engineering and Operations Update, June 2009 - Attachment 4 - Mr. Sullivan Chairman O`Neill wanted to thank the staff that was involved in setting up the tour of the Gaw substation that took place prior to the meeting. Mr. Sullivan presented the Gaw Update and the Engineering and Operations update for June. Commissioner Kearns asked if service outages are a result of car accidents or weather related? Mr. Sullivan replied that equipment failures cause service outages whereas car accidents result in area outages. Commissioner Hahn pointed out that there are rate comparisons for the IOU's. Commissioner Hahn said that RMLD's CAIDI is forty whereas Mass Electric is at ninety. Commissioner Hahn said that the RMLD does better than the IOU's and that it would be good to present a comparison. Mr. Sullivan provided an update on the Gaw substation project. -Commissioner Hahn reiterated that the last transformer on the Gaw project would be energized on December 25 as Mr. ullivan stated in his Gaw update. Mr. Sullivan stated that it is anticipated that all three transformers will be energized by December 25. Commissioner Hahn asked what happens to the old transformers? Mr. Sullivan replied that the old transformers would go out to bid in the fall. M. G. L. c. 30B Bid RFP 2009-40 Licensed Site Professional (LSP) Services Commissioner Pacino made a motion seconded by Commissioner Hahn that bid 2009-40 for Licensed Site Professional (LSP) Services be awarded to Cushing, Jammallo, and Wheeler, Inc., for a three year period beginning July 1, 2009 for an estimated cost of $47,000.00 per year based on a 5 '/z year average at the rates indicated in their price proposal, as the lowest qualified bidder on the recommendation of the General Manager. Motion carried 5:0:0. Commissioner Kearns asked for an explanation on why the MODF is so critical? Mr. Sullivan replied that MODF stands for Mineral Oil Dielectric Fluid and is the oil that needs to be cleaned up when there is a spill. It is imperative that the MODF is cleaned up properly by a firm that has expertise in the area. Commissioner Soli asked what happens if the LSP does not clean up the spill? Mr. Sullivan replied that the LSP is the firm that directs and manages the clean up when there is an oil spill. They also prepare reports on the spill that are compiled by the RMLD. Mr. Cameron stressed that it is important to have someone to watch over the clean up and make sure that it is done to satisfy Massachusetts' law and that the proper reports are developed. Regular Session Meeting Minutes 4 July 29, 2009 General Discussion Chairman O Neill stated that a presentation on the Smart Grid would be on the next agenda. Chairman O'Neill said that she would like a policy for the release of the Executive Session minutes. At the September meeting, the 2003 and 2004 Executive Session meeting minutes should be ready to be reviewed for release. BOARD MATERIAL AVAILABLE BUT NOT DISCUSSED Rate Comparisons, June 2009 E-Mail responses to Account Payable/Payroll Questions Upcoming Meetings Wednesday, August 26, 2009 RMLD Board Meeting Wednesday, September 30, 2009 RMLD Board Meeting Citizens' Advisory Board Rotation Chairman ONeill will cover the Citizens' Advisory Board meeting on Monday, September 14, 2009. Executive Session At 8:32 p.m. Commissioner Pacino made a motion seconded by Commissioner Hahn that the Board go into Executive Session to discuss strategy with respect to litigation and return to regular session for the sole purpose of adjournment. Motion carried by a polling of the Board 5:0:0. Mr. Soli, Aye; Ms. Kearns, Aye; Chairman ONeill, Aye; Mr. Hahn, Aye; and Mr. Pacino, Aye. Adjournment At 9:15 p.m. Commissioner Pacino made a motion seconded by Commissioner Kearns to adjourn the meeting. Motion carried 5:0:0. A true copy of the RMLD Board of Commissioners minutes as approved by a majority of the Commission. Philip B. Pacino, Secretary RMLD Board of Commissioners Dt: July 29, 2009 ATTACIDv ENT 1 To: RMLB, Vincent F. Cameron, Jr., Jeanne Foti Fr: Bob Fournier Sj: June 2009 Memo Figures are still being finalized. Audit will begin on Tuesday, August 11. I will have pre-audit figures by Monday, August 10. To date, there are no major incidents or unusual expenditures to mention. Kwh sales are 696,000,000, down by 21,000,000 or 3.0% compared to last year's total of 717,000,000. Base revenues are $39m, an increase by $1.Om or 2.7% compared to last year's total of S38m. The September rate increase helped to offset the decrease in Kwh sales. Bad debt expense could be as high as 200k. ATTACHMENT 2 To: Vincent Cameron From: Energy Services Date: July 23, 2009 Subject: Purchase Power Summary- June, 2009 Energy Services Division (ESD) has completed the Purchase Power Summary for the month of June 2009. ENERGY The RMLD's total metered load for the month was 56,774,254 kWhs, which was a decrease of 14.53 % compared to June, 2008 figures. The RMLD purchased 56,820,690 kWhs. Table 1 is a breakdown by source of the energy purchases. TABLE 1 Amount of Cost of % of Total Total $ $ as a Resource Energy Energy Energy Costs % (kWh) ($/Mwh) Millstone #3 3,585,601 $4.61 6.31% $16,547 0.48% Seabrook 5,692,445 $6.77 10.02% $38,535 1.13% Stonybrook 832,606 $59.63 1.47% $49,648 1.45% Constellation 21,600,000 $69.76 38.01% $1,506,708 44.06% PASNY 1,541,403 $4.92 2.71% $7,584 0.22% ISO Interchange 2,814,150 $9.29 4.95% $26,853 0.79% NEMA Congestion 0 $0.00 0.00% -$9,884 -0.29% Coop Resales 46,531 $133.79 0.08% $6,226 0.18% Stonybrook Peaking 27,947 $174.03 0.05% $4,864 0.14% Integrys 18,816,000 $81.26 33.11% $1,528,938 44.71% * Braintree Watson Unit 1,864,007 $130.87 3.28% $243,939 7.13% Monthly Total 56,820,690 $60.19 100.00% $3,419,957 100.00% * Total cost includes $130,159 of fuel expense for Working Capital. Resource ISO DA LMP Settlement RT Net Energy Settlement ISO Interchange (subtotal) Table 2 Amount Cost % of Total of Energy of Energy Energy (kWh) ($/Mwh) 14,000,558 35.47 24.64% -11,186,408 37.98 -19.69% 2,814,150 25.49 4.95% Table 2 breaks down the ISO interchange between the DA LMP Settlement and the RT Net Energy for month of June, 2009. CAPACITY The RMLD hit a demand of 112,757 kWs, which occurred on June 26, 2009 at 2 pm. The RMLD's monthly UCAP requirement for June 2009 was 231,356 kWs. Table 3 shows the sources of capacity that the RMLD utilized to meet its requirement. Table 3 Source Amount (kWs) Cost ($/kW-month) Total Cost $ % of Total Cost Millstone #3 4,593 67.71 $311,001 15.09% Seabrook 7,910 54.99 $434,933 21.10% Stonybrook Peaking 25,868 5.52 $142,768 6.93% Stonybrook CC 44,495 7.42 $330,009 16.01% Pasny 4,536 2.62 $11,896 0.58% HQICC 5,631 4.02 $22,611 1.10% ISO-NE Supply Auction 138,322 4.10 $567,376 27.53% Braintree Watson Unit 0 0.00 $240,462 11.67% Total 231,355 $8.91 $2,061,056 100% Table 4 Resource Energy Capacity Total cost % of Total Cost Millstone #3 $16,547 $311,001 $327,548 5.98% Seabrook $38,535 $434,933 $473,468 8.64% Stonybrook $49,648 $330,009 $379,657 6.93% HQ 11 $0 $22,611 $22,611 0.41% Constellation $1,506,708 $0 $1,506,708 27.49% PASNY $7,584 $11,896 $19,479 0.36% ISO Interchange $26,853 $567,376 $594,229 10.84% Nema Congestion -$9,884 $0 -$9,884 -0.18% Coop Resales $6,226 $0 $6,226 0.11% Stonybrook Peaking $4,864 $142,768 $147,631 2.69% Integrys $1,528,938 $0 $1,528,938 27.90% Braintree Watson Unit $243,939 $240,462 $484,401 8.84% Monthly Total $3,419,957 $2,061,056 $5,481,013 100.00% Table 4 shows the total dollar amounts for energy and capacity per source. TRANSMISSION The RMLD's total transmission costs for the month of June, 2009 are $491,881. This is a increase from the May, 2009 cost of $472,508. In 2008, the transmission costs for the month of June, were $637,440. Table 5 m..___....__ a._ Current Month a._.,. Last Month w__ . Last Year 'Peak Demand (kW) _ 112,757 113,508 167,557 Energy (kWh) 56,820,690 55,299 253 66,455,457 Energy $3,419,957 $3,152,914: $6,175,790 'Capacity . _ . $2,061,056 _ i _ $1,769,783, $1,485,757 ;Transmission $491,881 $472,508 $637,440 Total $5,972,894` $5,395,206 $8,298,987 Table 5 shows the current month vs. last month and last year (June, 2008). E` Reading Municipal Light Department ATTACHMENT') To: Jane Parenteau From: Jared Carpenter 3a Date: July 24, 2009 Subject: Update on Energy Efficiency Programs The purpose of this memo is to update the progress of the energy efficiency programs. One of the main goals of the RMLD energy programs has been to expand and add to our customer rebate programs. The programs that have been modified and are currently being edited and entered for approval are as follows: -Commercial/Industrial Energy Initiative Program (kW, and kWh) The purpose of this program is to provide a maximum $50,000 rebate for commercial customers who would like to add Solar, Wind, CHP or other renewable energy technologies to their property. The program also provides the rebate to customers who can reduce the energy consumption (kW or kWh) on their property. Both options are based on customer driven project plans. -Residential Renewable Energy Rebate Program The purpose of this program is to provide a rebate to residential customers who install renewable energy on their property. The maximum rebate amount is $5,000. -Energy Star Appliance Rebate Program The purpose of this program is to expand our rebates for buying Energy Star rated residential appliances. -Electric Hot Water to Energy Star Hot Water Heater Conversion Rebate Program The purpose of this program is to encourage customers to replace their existing electric hot water heaters with Energy Star rated hot water heaters. The amount is $500. Other projects in the energy efficiency programs that are currently being addressed are as follows: -Restructure and update the commercial lighting rebate program to provide the best possible service as technology grows and efficiency increases. -Measurement and Verification study for commercial and residential rebates program (how much energy is saved after rebate). -Continued solar installation site visits for residential customers. This includes working with the installation contractors to help the homeowner with the project scope of work. -Working to find possible stimulus money opportunities for residential customers. -Energy Conservation information expansion on new website. -Continued residential and commercial audits. -Reviewing energy audits from Energy New England (Wilmington Middle School was the most recent). DRAFT ATTACHMENT 4 READING MUNICIPAL LIGHT DEPARTMENT FY09 CAPITAL BUDGET VARIANCE REPORT FOR PERIOD ENDING JUNE 30, 2009 Project Description TOwP 4 kV Retirement - Stepdown Areas 1 California Rd; Prescott and Sunnyside Sts; Walnut Street R System Projects 2 Station #4 Getaway 4W30 Replacements R 3 Forest Street W 4 Salem Street Area W 5 High Capacity Tie 4W1 8/3W8 Franklin Street R 6 Fordham Road W URD Upgrades 7 URD Completions-Sanborn Village, Reading; Perkins All Farm, Lynnfield; and Chestnut Village, North Reading New Circuits and Circuit Expansions 8 Salem Street to Glen Road 13kkV Feeder Tie W 9 Reading Center-Main Street R 10 Reading Center-Haven Street R Station Upgrades Station 4 11 Transformer Replacement Part 1 - Contractual Labor R Part 2 - Procured Equipment R Part 3 - RMLD Labor R Part 4 - Feeder Re-Assignment R Part 5 - Transformer Payments R New Customer Service Connections 12 Service Installations-Commercial/Industrial Customers All 13 Service Installations O/H & U/G - Residential Customers All 14 Routine Construction Various Routine Construction All Total Construction Projects Other Projects 15 GIS 16 Transformers/Capacitors Annual Purchases 17 Meter Annual Purchases 18 Purchase Two New Small Vehicles 19 Purchase Line Department Vehicles 20 Purchase New Single Reel Trailer 21 Security Upgrades 22 Repair Station One Roof 23 Install New Ceiling/Walls from Water Damage in Lobby 24 Grade and Asphalt Pole Yard at Station Three 25 Insulate Office Plenum 26 Replace Office Chairs 27 Hardware Upgrades 28 Software and Licensing MI 230 Ash Street Paving Total Other Total RMLD Capital Project Expenditures 29 Force Account/Reimbursable Projects All Total FY09 Capital Project Expenditures YTD ACTUAL ACTUAL ANNUAL COST COST BUDGET REMAINING JUNE thru 6130/09 AMOUNT BALANCE 36,112 248,060 180,547 67,513 0 8,909 209,629 (200,721) 0 0 80,937 (80,937) 6,150 12,880 268,561 (255,680) 0 0 127,218 (127,218) 34,019 34,179 121,170 (86,991) 0 0 38,361 (38,361) 0 0 78,861 (78,861) 17,547 60,901 125,763 (64,862) 3,158 188,729 100,245 88,485 82,533 82,705 2,098,100 (2,015,395) 623 101,229 359,800 (258,571) 19,458 110,544 665,939 (555,396) 0 0 281,764 (281,764) 0 2,754,900 2,754,900 0 1,747 22,675 86,871 (64,196) 22,194 165,514 189,626 (24,112) 98,574 1,698,934 1,511,171 187,763 322,116 5,490,159 9,279,463 (3,789,304) 6,200.00 143,179 148,252 (5,073) 80,042.00 299,220 485,811 (186,591) 87,703 171,270 (83,567) 55,740 54,000 1,740 317,000 355,000 (38,000) 23,089.00 23,089 20,000 3,089 27,559 25,000 2,559 0 205,190 (205,190) 0 20,000 (20,000) 90,000 1,027 0 50,000 (50,000) 9,850.65 9,851 10,000 (149) 1,700.99 16,434 55,700 (39,266) 53,966.00 103,024 44,600 58,424 87,458.26 91,027 262,307 1,173,826 1,734,823 (560,997) 584,423 6,663,986 11,014,287 (4,350,301) 1,430 120,175 60,581 59,595 585,853 6,784,161 11,074,867 (4,290,706) Reading Municipal Light Department Engineering and Operations Monthly Report JUNE, 2009 FY 2009 Capital Plan 4 kV Retirement - Stepdown Areas 1. Reading - Walnut Street: continued transfers, installed and energized secondary cable Sunnyside: Continued pulling rope; installed new secondary cable, spacers, anchor, replaced transformer, and transferred services to new cable. Echo: Continued pulling rope. Fairview/Pratt Streets: Installed pulling rope, secondary cable, transformers, and tied in primary. Also transferred services to new cable. System Projects 2. Station #4 Getaway 4W30 Replacement - Reading - No activity this month. 3. Forest Street - Wilmington - Postponed to FY2011. 4. Salem Street Area - Wilmington - Reconductoring continued: Switched load; replaced conductor; installed pole. 5. High Capacity Tie 4W1813W8 Franklin Street -Reading Carried over to FY2010. 6. Fordham Road -Wilmington -Project continued: Built riser pole; installed switches; installed primary cable; installed rope; pulled in underground cable from manhole to riser; spliced; installed terminations; and did primary switching and phasing. URD Umarades 7. URD Completions - Sanborn Village, Reading; Perkins Farm, Lynnfield; and Chestnut Village, North Reading - No activity to-date. New Circuits and Circuit Expansions 8. Salem Street to Glen Road Feeder Tie -Wilmington -Carried over to FY2010. 9. Reading Center - Main Street - Pulled in underground cable from manhole to new padmount at George Washington apartments and from padmount to vault; spliced; connected neutrals; and completed grounding 10. Reading Center - Haven Street -Area conversion (Main, Ash, Gould, and Green Sts). Substation Up-grade Projects 11. Transformer Replacement - Station 4 Part 1 - Contractual Labor - Engineering and design firm consultant invoices. Part 2 - Procured Equipment - Transformer pads. Part 3 - RMLD Labor - Chief Engineer and Senior Techs labor. Part 4 - Feeder Re-Assignment - No activity to-date. Part 5 - Transformer Payments - No further activity. New Customer Service Connections 12. Service Installations - Commercial/Industrial Customers - This item includes new service connections, upgrades, and service replacements for the commercial and industrial customers. This represents the time and materials associated with the replacement of an existing or installation of a new overhead service, the connection of an underground service, etc. This does not include the time and materials associated with pole replacements/installations, transformer replacement/installations, primary or secondary cable replacement/installations etc. This portion of the project comes under routine construction. 13. Service Installations - Residential Customers - This item includes new or upgraded overhead and underground services, temporary overhead services, and large underground development. 14. Routine Construction - The drivers of the Routine Construction budget category YTD are listed. This is not an inclusive list of all items within this category. Pole Settin /Transfers $131,136 Maintenance Overhead/Underground $617,287 Projects Assigned as Required $541,945 Pole Damage (includes knockdowns) some reimbursable $ 61,862 Station Group $ 84,048 Hazmat/Oil Spills $ 21,048 Porcelain Cutout Replacement Program $ 56,445* Lighting Street Light Connections $ 17,119 Storm Trouble $ 36,989 Underground Subdivisions $ 44,731 Miscellaneous Capital Costs $ 86,324 TOTAL $1,698,934 *In the month of June, 8 cutouts were charged under this program. Approximately 30 cutouts were installed new or replaced because of damage making a total of 38 cutouts replaced this month. 29 - Force Accounts - The Commonwealth of Massachusetts requires utility plant equipment relocations in conjunction with various roadway reconstruction projects. Reading Center Force Account Project - Connected new service to street light control cabinet and checked voltages. Route 129 (Lowell Street) Project - No activity in June. Reliability Report Two key industry standard metrics have been identified to enable the RMLD to measure and track system reliability. A rolling 12-month view is being used for the purposes of this report. Customer Average Interruption Duration Index (CAIDI) - Measures how quickly the RMLD restores power to customers when their power goes out. CAIDI = Total of Customer Interruption Duration for the Month in Minutes/ Total number of customers interrupted. 2 RMLD System CAIDI - 43.42 minutes Industry Average - 65.91 minutes per outage (APPA 2005 Reliability Survey) On average, RMLD customers that experience an outage are restored in 43.42 minutes. 120.00 N 99.57 100.00 C 80.00 63.3 60.00 O L .75 35,76 m 40.00 - - - - - - - 707 - - - - O 1 :26 23.89 yr 20.00 V 0.00 p°` Monthly minutes per outage System average outage duration 43.42 Industry average outage duration 65.91 (APPA 2005 Survey) System Average Interruption Frequency (SAIFI) - Measures how many outages each customer experiences per year on average. SAIFI = Total number of customer's interrupted / Total number of customers. RMLD System Average - .73 outages per year Industry Average - 1.6 outages per year (APPA 2005 Reliability Survey) Top quartile performance for the industry is one outage or less per year. The graph below tracks the month-by-month SAP performance. 3.50 3.17 N = 3.00 m 2.50 v c : 2.00 w 1.50 1.00 0:82 C NO.86 - 0.93 rr 0.54 ;v 0.50 -O.L8 - W 0:02 0.00 o`~ o~' o`~ o`~ o`~ o~ o0 0°~ o0 00 00 00 • RMLD monthly outage frequency - - - RMLD system average outage frequency .73 Industry average outage frequency 1.6 (APPA 2005 Survey) Months Between Interruptions (MBTI) Another view of the SAIFI data is the number of months Reading customers have no interruptions. At this time, the average RMLD customer experiences an outage every - 16.44 months. 3