Exelon 2015 Annual Report Download - page 137

Table of Contents
The changes in ComEd’s Revenue net of purchased power expense for the year ended December 31, 2015 compared to the same period in
2014, and for the year ended December 31, 2014 compared to the same period in 2013, consisted of the following:
Increase
(Decrease)
2015 vs. 2014
Increase
(Decrease)
2014 vs. 2013
Weather $ (16) $ (16)
Volume (22) —
Electric distribution revenue 180 (2)
Transmission revenue 48 30
Regulatory required programs (1) 52
Uncollectible accounts recovery, net 27 41
Pricing and customer mix (4) 5
Revenue subject to refund 9 (9)
Other (22) (4)
Increase in revenue net of purchased power $ 199 $ 97
The demand for electricity is affected by weather conditions. Very warm weather in summer months and very cold weather in other
months are referred to as “favorable weather conditions” because these weather conditions result in increased customer usage. Conversely, mild
weather reduces demand. For the years ended December 31, 2015 and 2014, unfavorable weather conditions reduced Operating revenue net of
purchased power expense when compared to the prior years.
Heating and cooling degree days are quantitative indices that reflect the demand for energy needed to heat or cool a home or business.
Normal weather is determined based on historical average heating and cooling degree days for a 30-year period in ComEd’s service territory with
cooling degree days generally having a more significant impact to ComEd, particularly during the summer months. The changes in heating and
cooling degree days in ComEd’s service territory for the years ended December 31, 2015, 2014 and 2013 consisted of the following:
For the Years Ended
December 31, % Change
Heating and Cooling Degree-Days 2015 2014 Normal 2015 vs. 2014 2015 vs. Normal
Heating Degree-Days 6,091 7,027 6,341 (13.3)% (3.9)%
Cooling Degree-Days 806 799 842 0.9% (4.3)%
For the Years Ended
December 31, % Change
Heating and Cooling Degree-Days 2014 2013 Normal 2014 vs. 2013 2014 vs. Normal
Heating Degree-Days 7,027 6,603 6,341 6.4% 10.8%
Cooling Degree-Days 799 933 842 (14.4)% (5.1)%
Revenue net of purchased power expense decreased as a result of lower delivery volume, exclusive of the effects of weather, for
the year ended December 31, 2015, reflecting decreased average usage per residential customer and the impacts of energy efficiency programs,
as compared to the same period in 2014. For the year ended December 31, 2014, Revenue net of purchased power expense remained relatively
consistent, as compared to the same period in 2013.
EIMA provides for a performance-based formula rate tariff, which requires an annual reconciliation of the
revenue requirement in effect to the actual costs that the ICC determines are prudently and reasonably incurred in a given year. Under EIMA,
electric distribution
130
Source: BALTIMORE GAS & ELECTRIC CO, 10-K, February 10, 2016 Powered by Morningstar® Document Research℠
The information contained herein may not be copied, adapted or distributed and is not warranted to be accurate, complete or timely. The user assumes all risks for any damages or losses arising from any use of this information,
except to the extent such damages or losses cannot be limited or excluded by applicable law. Past financial performance is no guarantee of future results.