Wisconsin Power and Light, a subsidiary of Alliant Energy, has filed requests with the Public Service Commission of Wisconsin to make a refund based on lower than expected fuel costs for 2007 and to implement a rate adjustment based on projected fuel costs for the remainder of 2008 for its retail electricity customers.
Wisconsin Power and Light (WPL) is requesting approval of a $13.6 million total refund for its retail customers, including interest, due to less-than-expected fuel costs for June 2007 through December 2007. Under WPL’s 2007 fuel refund request, a typical residential customer using 600kWh of electricity per month will receive a one-time credit of around $8.95.
The proposed refund complies with an agreement reached between WPL and the customer groups, the Citizens Utility Board and the Wisconsin Industrial Energy Group, in which WPL agreed to refund any over-collection of fuel costs for the time period from June 2007 through December 2007. The Public Service Commission of Wisconsin (PSCW) approved the agreement on August 23, 2007.
WPL is also requesting a 2008 interim fuel-only increase of $15.6 million for its retail customers. This interim fuel-only rate case was filed because actual fuel and purchased power costs through February 2008, combined with projections of continued higher fuel and purchased power costs for the remainder of 2008, reportedly exceed the amounts currently recovered in base rates.
The actual amounts under both requests will vary depending on usage and customer class. The refund and rate adjustment filings must be approved by the PSCW after a review process.