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Monday, April 2, 2012 | 5:13 p.m.
Archives
- Why a power rate hike was inevitable (12-28-2011)
- Residential power rates rising 10-11 percent after state OKs increase (12-21-2011)
- NV Energy has power to seek a rate hike — and blur the details (11-23-2011)
- NV Energy seeks 24 percent general rate increase (6-9-2011)
- NV Energy-backed measure gets approval in final minutes (6-7-2011)
- Bill would let NV Energy seek another rate increase for energy efficiency (5-6-2011)
- NV Energy customers may get zapped for conserving (5-4-2011)
NV Energy has sold 37 of its communication towers for $38.9 million and wants to use $14.1 million to hold down electricity rates in Clark County.
The utility says the towers were never built with money from ratepayers, but “it wants to apportion 55 percent of the total value of the transaction to customers.”
It has asked the state Public Utilities Commission for approval to use the $14.1 million to offset its expected rate increase sometime this summer.
NV Energy said it had four offers to buy the communication towers located on substation sites. It sold them in 2011 to Global Tower, LLC.
In addition, it will realize an escalating annual lease on the land that starts at $555,000 the first year. That will also be used to hold customer rates down.
The company said it had received annual lease payments of $2.6 million from the towers. That money was used to reduce general rates, said the utility.
“Nevada Power seeks a determination that the gain on sales associated with the transaction is 'significant' and that amortization of the gain should coincided with the effective date of Nevada Power’s next general rate case,” the company said.
The Public Utilities Commission said anyone wishing to file comments should do so before April 25.
"The utility says the towers were never built with money from ratepayers"... "Nevada Power seeks a determination that the gain on sales associated with the transaction is 'significant'"..."wants to use $14.1 million to hold down electricity rates in Clark County." GOOD GRIEF!
Hold own electricity rates?? What? When were they ever down to imply they can be held?! The mere fact that a rate hike is already in consideration for the summer even after they just increased our rates in January is sickening! Oh yeah, I forgot to say thanks for the consideration to put the money in our favor. They'll just find another way to make the money back up by another rate increase for the winter. That's what they did when all became conscious with energy consumption (i.e., CFL bulbs, energy efficient appliances). You've effectively negated anything we did to help ourself. You'll find another way to do it again.
One question: is 14.1 55% of 38.9?