PUC staff seeks Nevada Power cut, not increase

Nevada Power is seeking $9.9 million through an unresolved portion of a 1997 rate case. The issues addressed in this case are separate from the $49.4 million rate hike plan the Las Vegas-based utility filed in July.

The PUC ordered participants in the 1997 case to calculate how capacity, and the investment in plants and equipment, is factored into rates and where it is built into rates.

As a result of those calculations, Nevada Power believes its energy rates should be decreased $7 million and its general rates increased by $16.9 million for a net increase of $9.9 million yearly.

Consumer Advocate Fred Schmidt recommends cutting the increase to $6.2 million. The PUC's staff filed a proposal calling for a $3.2 million rate cut, rather than an increase.

Chris Van Dyck, senior deputy attorney general, said the consumer advocate believes Nevada Power's calculations are a "revenue enhancer" for the utility company.

archive