Nevada Power, a wholly owned subsidiary of Sierra Pacific Resources (SRP) , said Wednesday that it filed its legally required general rate case with the Public Utilities Commission of Nevada.
The filing -- which reflects the company's investment of more than $1.3 billion in infrastructure to serve the electricity needs for the fastest-growing community in the nation's fastest-growing state -- requests an 8% overall rate increase. If the company's proposal is approved by the PUCN, the typical residential customer using 1250 kilowatt hours could expect to pay about $17.50 more a month beginning in June 2007.
The company said most of the recent investments have been for highly efficient power plants that have reduced the cost of electricity for southern Nevada customers by about $120 million this year alone, compared with what otherwise would have been paid for the purchase of power on the open market.
"Our customers already have seen the benefits of investments made in generation facilities over the past two years. For example, the new Chuck Lenzie Generating Station, which commenced operations early this year, has to date resulted in savings for our customers of approximately $85 million for power that otherwise would have had to be purchased from outside sources. Therefore our strategy to own more electric generating capacity rather than rely on uncertain out-of-state energy markets is already having a positive effect on our customers' prices," the company said.
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