OGE Energy : Direct Testimony of Gwin Cash

Published: 2025-05-19 16:43:06 ET OGE

Published on 05/19/2025 at 16:43

IN THE MATTER OF THE APPLICATION OF )

OKLAHOMA GAS AND ELECTRIC COMPANY ) Case No. PUD2025-000038 FOR COMMISSION PREAPPROVAL OF NEW )

GENERATION CAPACITY PURSUANT TO ) 17 O.S. § 286(C) AND RIDER COST RECOVERY )

Direct Testimony of

Gwin Cash on behalf of

Oklahoma Gas and Electric Company

May 19, 2025

Direct Testimony of Gwin Cash Page 1 of 5

Gwin Cash

Direct Testimony

Q. Please state your name, position, by whom you are employed, and your business

A. My name is Gwin Cash. I am the Manager of Pricing and Rate Administration for

Oklahoma Gas and Electric Company ("OG&E" or "Company"). My business address is

321 N. Harvey, Oklahoma City, Oklahoma, 73102.

Q. Please summarize your professional qualifications and educational background.

A. I have worked for OG&E in various capacities for over 21 years. I joined the Company's

regulatory department in January 2015 as the Rate Administration Manager and in July of

2017 I assumed additional responsibilities as the manager of Cost of Service. In May of

2023 I became the manager of Pricing and Rate Administration. My Pricing

responsibilities include oversight of the department's development of rates and charges in

the Company's retail electric tariffs. My Rate Administration responsibilities include

maintaining OG&E's tariffs on file with the regulatory commissions and ensuring

consistent application of these tariffs in the manner in which they are intended. Additional

duties include computing rider factors and monthly retail revenue reporting. Prior to

joining OG&E's regulatory department, I worked as a Senior Business Analyst in OG&E's

Sales and Customer Support department and as a Workforce Analyst in OG&E's Customer

Service department. I received a Bachelor of Science in Applied Mathematics with a

Specialization in Computing from the University of California, Los Angeles in 1999. 21

Q. Have you previously testified before the Oklahoma Corporation Commission

A. Yes. I have testified before the OCC in the following Cases: PUD 2023-000087, PUD

25 2023-000038, PUD 2021-000164, PUD 2021-000072, PUD 2020-000021, PUD 2018-

000140, PUD 2017-000496, and PUD 2015-000273. I have also testified in multiple cases

before the Arkansas Public Service Commission.

Q. What is the purpose of your testimony?

A. The purpose of my testimony is to support updates to the Generation Capacity Rider that

will accommodate the specific capacity resources requested in this Case. 4

Q. Please give a brief overview of this tariff.

A. This tariff, named the Generation Capacity Rider ("GCR") was previously approved in

Case No. PUD 2023-000038 and currently allows for recovery of Company-owned

capacity projects approved by the Commission. 9

Q. What updates to the GCR is the Company proposing at this time?

A. The Company is requesting to update the GCR to allow for cost recovery of the following

additional items:

construction work in progress ("CWIP") and recovery of the annual revenue

requirement for new natural gas fired generation capacity projects,

In what sections of the GCR tariff are the updates reflected?

These changes necessitated updates to the PURPOSE, TERM, and GCR FACTOR

CALCULATION sections. These changes to the tariff can be viewed in Exhibit GC-1 and

a clean version of the tariff is attached as Exhibit GC-2.

Please summarize the updates to the PURPOSE section of the GCR rider?

The PURPOSE section was updated to reflect the Company's request for additional cost

recovery items in this case, specifically the request for CWIP, the request for CPA costs,

and the request for a return on each CPA.

Please summarize the updates to the TERM section of the GCR rider?

The TERM section was updated to clarify the different term lengths for the different cost

items requested for recovery. For Company-owned natural gas-fired generation capacity

projects, recovery of CWIP will commence the first billing cycle of the month after the

capacity purchase agreement ("CPA") payments, and

return on the CPAs.

Commission authorizes the GCR. Recovery of CWIP will continue (with annual factor

updates to reflect increasing CWIP) until such time that the natural gas-fired generation

capacity projects are placed in service, at which time recovery of CWIP will cease and the

GCR will begin recovery of the annual revenue requirement for the Company-owned

natural gas generation facilities. Recovery of the annual revenue requirement will continue

until the natural gas-fired generation capacity projects are included in base rates. The

recovery term was updated to begin as soon as the amended GCR is approved to reflect

CWIP recovery. The cost recovery term length of Company owned facilities will remain

unchanged.

Additionally, the TERM section is updated to reflect that cost recovery of CPA

contracts, including a return, will begin and end with the term of the CPA contracts.

OG&E is not proposing any changes to the recovery of Horseshoe Lake units 11 &

12. OG&E has added language to clarify the distinction between what was approved by

the Commission for Horseshoe Lake units 11 & 12 in Case No. PUD 2023-000038 and

what is being requested in this case for Horseshoe Lake units 13 & 14. 16

Q. Please summarize the updates to the GCR FACTOR CALCULATION section of the

A. This section provides the formula that is the calculation of the GCR factors themselves. In

this formula the description of the Oklahoma Jurisdiction GCR Annual Revenue

Requirement component was updated to include the additional cost items requested. 22

Q. Are there any other updates to the GCR rider?

A. There is one minor, yet noteworthy, item to be discussed. As recovery has not yet begun

through the GCR rider the Company does not consider it as having become effective,

although already having been previously authorized by the Commission in a previous Case.

Therefore the Company is proposing to continue to reflect the rider sheets as Original

instead of first revised.

Q. What is your recommendation to the Commission?

A. I recommend the Commission approve the updates to "PURPOSE," "TERM," and "GCR

FACTOR CALCULATION" sections of the GCR tariff that reflect the Company's request

for recovery of the additional cost items associated with new natural gas fired generation

capacity projects (both CWIP recovery and the inclusion of the annual revenue requirement

after the units are placed in service), and the CPA contracts including a return on those

contracts.

Q. Does this conclude your testimony?

A. Yes.

Disclaimer

OGE Energy Corporation published this content on May 19, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 19, 2025 at 20:42 UTC.