Regulator delays big rate hike

Judy Sheldrew, chairwoman of the Public Utilities Commission and presiding officer in the rate case, made the decision after a Wednesday hearing.

Las Vegas-based Nevada Power wanted the rate increase to take effect Aug. 1, but the chairwoman's decision effectively delays it until after an Oct. 20 deadline for a decision in the case.

Sheldrew also delayed action on a motion from Consumer Advocate Fred Schmidt to throw out the rate case because of disputes about its timing and a law that caps rates for residential customers. The PUC's regulatory operations staff supports Schmidt in that motion.

The utility filed the $45 million rate case about a month after another $43 million increase became effective on Feb. 1.

Schmidt contends that the 1997 law that will deregulate electric utilities in 2000 also put a cap on residential rates after the $43 million case was filed last summer.

Also, Schmidt has argued that PUC regulations require Nevada Power to wait until July to file the rate case.

The consumer advocate suggested the rate increase be considered as part of a proposed merger of Reno-based Sierra Pacific Resources with Nevada Power.

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