Summary
This 8-K filing from Xcel Energy Inc. (XEL) on December 28, 2009, primarily concerns a rate settlement reached by its subsidiary, Northern States Power Company (NSP-Minnesota), with the South Dakota Public Utilities Commission (SDPUC). The original request was for an $18.6 million annual increase in South Dakota retail electric rates. The settlement agreement, filed on December 22, 2009, proposes an overall increase of approximately $10.95 million in electric base rates. Key aspects of the settlement include a 20-year extension of the Prairie Island nuclear generating plant's depreciable life, effective January 1, 2010, which will result in an approximate $3.2 million reduction in the overall rate adjustment. The SDPUC is expected to review the settlement in early January 2010, with new rates anticipated to be effective mid-January 2010. This filing provides investors with an update on regulatory proceedings that will impact future revenue for NSP-Minnesota.
Key Highlights
- 1NSP-Minnesota and SDPUC Staff filed a joint motion and settlement stipulation agreement on December 22, 2009.
- 2The settlement proposes an overall increase of approximately $10.95 million in NSP-Minnesota's electric base rates.
- 3This is a reduction from the initial request for an $18.6 million annual increase in South Dakota retail electric rates.
- 4The settlement includes a 20-year extension of the Prairie Island nuclear generating plant's depreciable life, effective January 1, 2010, leading to an approximate $3.2 million reduction.
- 5The South Dakota Public Utilities Commission (SDPUC) is expected to review the settlement in early January 2010.
- 6New rates are anticipated to become effective in mid-January 2010.