From Deseret News archives:
Utah power rates may jump
The 11.3 percent increase would be effective in August 2008. If approved, the rate hike would be the third in as many years and translate to an average increase of approximately $4.50 per month for a typical residential customer using 767 kilowatt-hours, according to the utility.
In December 2006, Rocky Mountain Power received a rate increase of 9.95 percent, and in March 2005, the utility received a 4.4 percent rate hike.
"The reason there have been a series of rate increases the last several years is that the company is in a vigorous growth cycle," said David Eskelsen, the company's external communications manager. "Customers are using more energy every year than they ever have."
He said the major factors driving the request are the large investments needed to provide electrical service to customers and the rising cost of generating and purchasing electricity.
Rocky Mountain Power estimates that capital investments will approach $2.8 billion over the next two years. The total amount of its Utah request is said to be $161 million.
"The company has proposed earlier this year similar increases for its customers in Idaho and Wyoming," Eskelsen said.
Despite the increases in Utah in recent years, the state still has some of the most affordable electricity rates in the nation. The Beehive State and neighboring Idaho are among 11 states that pay less than 8 cents per kilowatt hour for power. In contrast, Colorado and Arizona pay over 9 cents per kilowatt hour, while California and Nevada customers pay more than 11 cents per kilowatt hour.
Eskelsen said the rates for Utah in 1986 were about 8.5 cents per kilowatt hour, compared with the approximately 7.5 cents per kilowatt hour customers pay today.
"Rates that we're paying now are roughly about the same number per kilowatt hour that they were 20 years ago," he said.
Eskelsen added even if Rocky Mountain Power's request is granted in full, residential rates will still be below 1986 levels.
The current rate-increase proposal will be reviewed by the state Public Service Commission, which will conduct public hearings before making a final decision. Rocky Mountain Power estimates the process may extend to next August.
Rocky Mountain Power, which is part of PacifiCorp, serves approximately 758,000 customers in Utah. The utility also operates in Wyoming and Idaho.
E-mail: jlee@desnews.com
Recent comments
RMP is a summer peaking utility and lighting represents an...
fyi | Dec. 18, 2007 at 6:50 p.m.
do they need a rate increase with the mass lay off of meter readers...
comsumer | Dec. 18, 2007 at 6:45 p.m.
just curious...how much more per kWh would you be willing to pay for...
To: Gas and Wind; Go for LEDs | Dec. 18, 2007 at 6:38 p.m.
- Sports on the air 1:21 a.m.
- 2009 MLS Cup recap 12:45 a.m.
- MLS Cup winners, MVPs 12:41 a.m.
- Real Salt Lake: Game at a glance 12:36 a.m.
- Paper circulation worse than it looks 12:28 a.m.
- RSL wins MLS Cup on penalty kicks 12:22 a.m.
- Editorial: Cancer screening 12:15 a.m.
- Afterthoughts 12:15 a.m.
- Treat teachers with respect, trust 12:15 a.m.
- 'Reform' helps old, hurts young 12:15 a.m.
- BYU records with win
- Jazz outlast Pistons in overtime
- Glenn Beck to enter politics?
- Cougars turn focus to dreaded rivals
- Cougars put the fun back in football
- Former BYU professor remembered
- Florida No. 1, TCU 4 in AP Top 25
- Man dies after being run over
- Kirilenko heating up for the Jazz
- Police link alcohol to murder
- Buttars wants to limit gay rights laws
202 - Glenn Beck to enter politics?
191 - Palin plans tour stop in Utah
178 - RSL wins MLS Cup on penalty kicks
130 - BYU records with win
129 - Palin's book shows she's unqualified
125 - Officer cleared in Cardall Taser case
103 - BYU cuts Women's Research Inst.
100 - Jazz finally win in San Antonio
98 - Utes knock off rival Aggies
93
There's a lot of reason to leave your plastic home as you shop:
I don't pretend to be an expert on global warming. I've met with...
That game was amazing! I think this will really help the sport grow in Utah....
Congrats on a great win. Utah as a whole should be proud not just of a major...
Congrats Real Salt Lake! but, they aren't the first major sports team to...
I told ALL of you how much i liked NED Pure irony his contributions vs x...
this is to NevadaUTE @ 10:25!!! I love soccer, I love Real and it brought a...
wow!!! amazing. UTAH JAZZ DO SOMETHING!!!
So much fear and anger from Beck lovers. You all lost the last election, we...
This is the most emotion I have had watching a sporting event since my...
Nicky Rimando is my hero! I love that guy. He has had his detractors, but...
Two stars means nothing! We played as a team and it showed! I'm still in...

