November 10, 2012
Sandy won't be as costly as derecho for APCO, officials say
Lawrence Pierce
An Appalachian Power worker repairs a power line on Stonewall Drive in Charleston following the superstorm that hit the area late last month.
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CHARLESTON, W.Va. -- Superstorm Sandy is not likely to cost Appalachian Power as much as the summer derecho did, company officials say.

In West Virginia, 150,000 Appalachian Power customers lost power during last month's storm. By comparison, outages for West Virginia customers during the June storm peaked at 330,000. 

"[Sandy] should not be anything [close] to the nature of the derecho," spokeswoman Jeri Matheny said.

The derecho cost Appalachian Power $62 million, according to the company's current estimate. The company has yet to make estimations about the costs associated with Sandy. In previously published reports, company president Charles Patton estimated the costs to be between $20 and $25 million.

Matheny said that estimate is based on history. The company has not yet received any bill for the repairs, she said.

The company should have an estimate of the cost within a few weeks, she said.

If the company were to try to recover those costs, it would need to make a request to the West Virginia Public Service Commission, which would ultimately make that decision.

It's too soon to say whether APCO will go to the PSC and ask for a rate increase, she said. The company has no immediate plans to do so, she said.

The same is true about whether the company plans to try and recover the costs associated with the June derecho.

"We have not asked for any recovery and we don't know when we might," Matheny said.

During the latest storm, the company brought in 1,600 line mechanics, 300 assessors and 850 tree trimmers from its sister companies in Ohio, Kentucky, Indiana, Michigan, Louisiana, Texas and Oklahoma to assist with repairs during the recent snowstorm, Matheny said.

Appalachian Power officials were at first concerned that they would not be able to get the workers from other companies they needed to make repairs in West Virginia, but that didn't turn out to be a problem.

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Copyright 2012 . All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
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