Xcel Energy 2014 Annual Report Download - page 35

17
Energy Source Statistics
Year Ended Dec. 31
2014 2013 2012
PSCo Millions of KWh Percent of Generation Millions of KWh Percent of Generation Millions of KWh Percent of Generation
Coal. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18,274 53% 19,647 56% 21,367 59%
Natural Gas . . . . . . . . . . . . . . . . . . . . . . . . . . 8,601 25 7,565 22 7,930 22
Wind (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,472 19 6,750 19 5,752 16
Hydroelectric. . . . . . . . . . . . . . . . . . . . . . . . . 617 2 655 2 590 2
Other (b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 294 1 250 1 263 1
Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34,258 100% 34,867 100% 35,902 100%
Owned generation . . . . . . . . . . . . . . . . . . . . . 23,023 67% 22,873 66% 23,766 66%
Purchased generation . . . . . . . . . . . . . . . . . . 11,235 33 11,994 34 12,136 34
Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34,258 100% 34,867 100% 35,902 100%
(a) This category includes wind energy de-bundled from RECs and also includes Windsource RECs. PSCo uses RECs to meet or exceed state resource requirements
and may sell surplus RECs.
(b) Distributed generation from the Solar*Rewards program is not included, and was approximately 197, 172, and 133 net million KWh for 2014, 2013, and 2012,
respectively.
Fuel Supply and Costs
The following table shows the delivered cost per MMBtu of each significant category of fuel consumed for owned electric generation,
the percentage of total fuel requirements represented by each category of fuel and the total weighted average cost of all fuels.
Coal Natural Gas Weighted Average
Owned Fuel Cost
PSCo Generating Plants Cost Percent Cost Percent
2014 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1.82 75% $ 5.32 25% $ 2.68
2013 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.84 80 4.86 20 2.45
2012 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.77 78 4.25 22 2.31
The higher cost of natural gas was primarily due to higher market prices from increased demand because of cold weather in early
2014.
See Items 1A and 7 for further discussion of fuel supply and costs.
Fuel Sources
Coal — PSCo normally maintains approximately 41 days of coal inventory. Coal supply inventories at Dec. 31, 2014 and 2013 were
approximately 36 and 41 days usage, respectively. At Dec. 31, 2014, coal inventories were below optimal levels due to railcar
congestion. PSCo’s generation stations use low-sulfur western coal purchased primarily under contracts with suppliers operating in
Colorado and Wyoming. During 2014 and 2013, PSCo’s coal requirements for existing plants were approximately 10.3 million tons
and 11.3 million tons, respectively. The estimated coal requirements for 2015 are approximately 11.0 million tons.
PSCo has contracted for coal supply to provide 96 percent of its estimated coal requirements in 2015, and a declining percentage of
requirements in subsequent years. PSCo’s general coal purchasing objective is to contract for approximately 100 percent of
requirements for the first year, 67 percent of requirements in year two, and 33 percent of requirements in year three. Remaining
requirements will be filled through the procurement process or over-the-counter transactions.
PSCo has coal transportation contracts that provide for delivery of 100 percent of its coal requirements in 2015 and 2016. Coal
delivery may be subject to interruptions or reductions due to operation of the mines, transportation problems, weather and availability
of equipment.