03/16/2016

ROCKY MOUNTAIN POWER MEDIA RELEASE

Rocky Mountain Power is asking Utah regulators today for a $14.3 million decrease in customer electricity bills. For an average customer using 698 kilowatt hours each month, the proposal would reduce their annual electricity bill by $6.48. Last year the company asked for an $11.6 million decrease in customer electricity bills.

The company’s Energy Balancing Account (EBA), which primarily consists of the difference between Rocky Mountain Power’s actual and projected fuel costs and electricity purchases was $13 million, .7 percent less than last year.

The company also found customers should receive a reduction of about $1.3 million or .07 percent because of differences between actual and projected REC revenues. The RECs represent the environmental attributes of renewable energy produced by the company. RECs are sold on the open market and revenues are credited to customers to lower their bills.

“Our goal is to provide reliable electricity at the lowest prices possible,” said Bob Lively, Utah Regulatory Affairs Manager for Rocky Mountain Power. “This adjustment is one of the ways we manage the cost of serving our customers and meeting their energy needs.”
The balance in the EBA is caused by the difference between actual and expected costs of fuel and wholesale electricity purchases. This year the adjustment also included costs for closing the Deer Creek Mine. The Commission approves prices to collect the balance each year and the price adjustment can go up or down.

In the applications filed today, Rocky Mountain Power is asking the Utah Public Service Commission to make the rate changes for the REC sales beginning June 1, 2016 and the changes for the energy costs on November 1, 2016.