III. Calculation of the Pole Attachment Fee

In Ordering Paragraph 2 of D.02-03-048, the Commission ordered that any fee for use of transmission ROW on private land should be calculated as an overhead component of the transmission pole attachment fee, as set forth in the formula in Attachment A of that decision. By that formula, net pole investment is first increased by a ROW overhead factor. An annual cost of ownership, consisting of charges for Maintenance Expense, Administrative & General (A&G) Expense, Depreciation Expense, Taxes and Return, is then applied to that net loaded pole investment. A space allocation factor for cable attachment is then applied to the cost of ownership to determine the annual pole fee to be charged. Both Complainants and SDG&E based their proposed fees on their understanding of the formula and the relevant data to include in the calculations.

Attachments A and B detail the calculation of the adopted annual charges for wood transmission poles and steel transmission poles, respectively. For comparison purposes, SDG&E's and the Complainant's calculations are also shown.³ The rates have been determined in accordance with the provisions of Pub. Util. Code § 767.5 and are applicable specifically to Adelphia. This decision reconciles the differences between SDG&E and the Complainants regarding the assumptions and calculations related to the items in Attachments A and B.