Kentucky Public Service Commission

Final Order Entered: 1. Pursuant to the terms of the Settlement Agreement in Case No. 2012- 00578 and the Commission's Order in Case No. 2013-00325, Kentucky Power's environmental surcharge billing factor will remain at zero percent until changed by the Commission. 2. Kentucky Power's determination that it had no additional over- or under-recovery for the review period is approved. 3. Kentucky Power shall use a weighted average cost of capital of 7.52 percent, an income tax gross-up factor of 1.5754, a return-on-equity rate of 10.50 percent, and an overall grossed-up return of 10.42 percent in all monthly environmental surcharge filings subsequent to the date of this Order. 4. The charges and credits determined by Kentucky Power through its environmental surcharge for the period January 1, 2014 through June 30, 2014 are approved. 5. Kentucky Power's removal of the forms and lines that reflected AEP-East Pool Agreement-related environmental costs from the monthly environmental surcharge report is approved.

KPCO files Notice of Waiver of Hearing and Request that this Case be Submitted for a Decision on the Record.

Judy K Rosquist Kentucky Power Company

KPCO Responses to PSC Second Set of Data Requests

Judy K Rosquist Kentucky Power Company

Data Request

KPCO files Responses to PSC First Set of Data Request and Direct Testiomny of Amy J Elliott

Judy K Rosquist Kentucky Power

Order Entered: (1) Kentucky Power's motion to extend the procedural schedule by seven days is granted. (2) The procedural schedule set forth as Appendix A to the Commission's September 26, 2014 Order is hereby amended by the procedural schedule attached as an Appendix to this Order. (3) All other provisions of the Commission's September 26, 2014 Order not in conflict with this Order shall remain in full force and effect.

Motion to Amend Procedural Schedule

Amy J Elliott

Order Entered: Unless otherwise ordered by the Commission, the procedures set forth in 807 KAR 5:001, Section 8, shall be followed when filing papers in this proceeding. 2. Within seven days of the date of this Order, Kentucky Power shall file a statement as to whether it or its agent waives any right to service of Commission Orders by United States mail. 3. Unless a party granted leave to intervene states its objection to the use of electronic filing procedures in a motion for intervention, the party shall: a. Be deemed to have consented to the use of electronic filing procedures and the service of all papers, including Orders of the Commission, by electronic means; and b. Within seven days of the date of an Order of the Commission granting its intervention, file with the Commission a written statement that: (1) It waives any right to service of Commission Orders by United States mail; and (2) It, or its authorized agent, possesses the facilities to receive electronic transmissions. 4. If a party objects to the use of electronic filing procedures and the Commission determines that good cause exists to excuse that party from the use of electronic filing procedures, service of documents on that party and by that party shall be made in accordance with 807 KAR 5:001, Section 4(8). 5. The procedural schedule set forth in Appendix A, attached hereto and incorporated herein, shall be followed in this proceeding.