Consumer advocate: Power firm’s suit should be thrown out

Thursday, May 23, 2002 | 9:33 a.m.

CARSON CITY -- Consumer Advocate Tim Hay has asked a district judge to dismiss, without a hearing, a lawsuit by Nevada Power Co. to collect its full $922 million request in higher electric rates in Clark County.

Hay, in a new petition, said the case should be returned to the state Public Utilities Commission to consider pending motions.

The state advocate had previously filed a petition urging the judge to reject the lawsuit. The motion filed Wednesday asks judge to deny the case without a hearing.

Nevada Power opposes Hay's petition, saying the issue is properly before District Judge Bill Maddox, who has not made any decision or scheduled a hearing.

The suit, filed April 11 in District Court in Carson City, asks the court to grant the utility its full request to recover the extra money it spent on buying fuel. The PUC cut $437 million from the rate request.

Hay's motion said the PUC has not issued a final ruling on the case, so the court should not be involved.

The PUC has received two requests to reconsider Nevada Power's rate increase -- one from Hay and the from Nevada Coalition of Commercial Energy Consumers. Both ask that Nevada Power's request be cut even further.

But Nevada Power says there is nothing in the law that "would even remotely suggest" that a petition for reconsideration by the PUC of a case, can hold up a suit.

MGM MIRAGE also filed a petition Tuesday "serving notice" it intends to participate in the suit.