Summary
This 8-K filing reports on Northern States Power Company (NSP-Wisconsin), a subsidiary of Xcel Energy Inc. (XEL), and its rate increase application filed with the Public Service Commission of Wisconsin (PSCW). Initially, on June 1, 2011, NSP-Wisconsin applied for an overall annual revenue increase of approximately 3.8% for electric and 6.6% for natural gas services. This filing, based on a 2012 forecast test year, included a requested rate of return on equity of 10.75% and projected net investment rate bases of $718 million for electric and $84 million for natural gas utilities. Subsequently, on June 17, 2011, NSP-Wisconsin revised its application, increasing the requested annual electric revenue increase to 5.1% ($29.2 million) while keeping the natural gas revenue increase request at 6.6% ($8.0 million). Investors should note that a decision from the PSCW is anticipated in the fourth quarter of 2011. This filing also includes forward-looking statements regarding the potential impact of these rate cases, subject to various risks and uncertainties inherent in the energy industry.
Key Highlights
- 1NSP-Wisconsin, a subsidiary of Xcel Energy, filed a rate increase application with the Public Service Commission of Wisconsin (PSCW).
- 2The initial application on June 1, 2011, sought a 3.8% electric and 6.6% natural gas revenue increase.
- 3The application was based on a 2012 forecast test year.
- 4NSP-Wisconsin requested a 10.75% rate of return on equity.
- 5On June 17, 2011, the requested electric revenue increase was revised to 5.1% ($29.2 million), while the natural gas increase remained at 6.6% ($8.0 million).
- 6A PSCW decision on the rate application is expected in the fourth quarter of 2011.