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Idaho electric and natural gas general rate case settlement reached   

Tags: Avista Utilities, Idaho, Rates

If approved, Idaho customers will see net overall energy price reductions

Post by Dan Kolbet

Over the last few months on the Avista Blog we’ve kept you updated on rates activity in Idaho. Sometimes those filings requested increases and sometimes they requested decreases. Since we’re a regulated utility, no matter what we do, we have to ask the Idaho Public Utilities Commission for the OK – then it sets our rates. Today all those recent rate filings are coming together – the big piece being our general rate case requests for electric and natural gas customers.

When combined with other proposed rate adjustments, the results of the settlement would be a net overall decrease in electric rates of 2.4 percent and a net overall decrease in natural gas rates of 0.8 percent. If approved, new rates would become effective October 1, 2011. You can see the detailed news release on the settlement here.
Any day we can tell our Idaho customers that rates (if approved) are staying flat, or even going down, is a good day in Idaho. There are several separate elements that have to combine to equal a decrease, but that’s really how your rates are comprised anyway - many different parts sum up to a total.

While a few dollars a month decrease may not seem like a lot of money in your pocket, it is significant, considering the amount of work we’re doing each year. To ensure the power you expect, we’re focusing on systematically replacing or upgrading our equipment – the poles, pipe, wires, transformers, substations, equipment and generating facilities needed to safely and reliably deliver power to you. That’s why we’re investing approximately $250 million in our utility equipment (system wide) in 2011.

Another element of the settlement that is worth noting is a “stay-out” provision. This provision is such that Avista will not propose an additional general rate increase that would be effective prior to April 1, 2013. This does not preclude the company from filing annual rate adjustments such as the Power Cost Adjustment (PCA) and Purchased Gas Adjustment (PGA).”  
If you’d like to learn more about this settlement and what pieces came together in the end, check out our news release here: 
Posted by  System Account  on  8/26/2011
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