Xcel Energy seeks $355.5M revenue hike, increasing residential bills nearly 10% on average

Xcel Potential Colorado s largest electric utility has petitioned state regulators for an increase of million to its rate base which would boost the average residential electric bill by nearly per month Xcel filed the proposal Friday with the Colorado Masses Utilities Commission which will take testimony from the company and various intervening parties and hold a general hearing If approved the increase would take effect in September Xcel Energy-Colorado President Robert Kenney explained the utility s last increase to the rate base was in The average residential bill rose by according to an Xcel comment after an agreement was reached with all the parties The rate base is a utility s investments to provide services and on which it s allowed to earn a regulated rate of return This rate episode is to recover costs associated with investments that we ve made over the last three years Kenney declared The Utility Consumer Advocate or UCA which represents the masses before state regulators explained the proposed increase is too big of an increase It s an especially large increase given the context of the economic times revealed Joseph Pereira UCA deputy director The increase is largely related to Xcel s expanded capital spending on distribution transmission and generation Pereira explained It s unclear to parties in the UCA that the company is prioritizing investments that are the biggest bang for the buck that increase reliability and that adopt an intelligent approach to how they re using the grid Pereira mentioned It still appears that the company is using a crude blanket approach to replacing and investing in new infrastructure Kenney stated Xcel has invested in safety reliability making the system more resilient electrifying transportation and buildings meeting increased demands from increase and taking actions to significantly reduce carbon emissions Xcel has declared it has reduced carbon emissions by The state s target is to cut greenhouse gas emissions by from levels by Xcel is upgrading its electric grid with a billion transmission project The Colorado Power Pathway includes transmission lines power substations and other equipment stretching over counties mostly in eastern Colorado We ve added a tremendous amount of renewable potency over the last several years Kenney reported And we ve done all of this while keeping bills as low as feasible Xcel has faced criticism from the Office of the Utility Consumer Advocate or UCA which represents the community before state regulators and customers over the past minimal years for what the UCA has called a pancaking of rate increases The criticism of Xcel and other regulated utilities heated up in after a cold winter and high natural gas prices sent costs soaring statewide A legislative committee held hearings and approved a bill intended to protect customers against future price shocks and level what chosen see as a playing field tilted in the utilities favor Related Articles Historic Colorado River deal to conserve flows advances after winning key approval from state water board Xcel Potential seeks to delay closing coal plant while its largest generating unit remains down Colorado Rep Jeff Hurd asks U S Resource Department to order that coal plant stay open Fight back against Xcel s rate creep Letters Comanche Xcel Vigor s troubled coal plant likely out of commission for months Kenney stated Xcel Power s rates have been well below state and national averages for approximately the last years But he added the company recognizes that several customers face challenges to paying their bills He disclosed Xcel is expanding its programs to help people struggling to pay their bills and adding million in assistance People can also call - - In the past Xcel required people to show proof of income to apply for help but now will accept their statements of need And those receiving other aid such as Supplemental Nutrition Assistance Operation or SNAP will be automatically eligible Under Xcel s proposed rate hike the average monthly residential bill would rise small commercial bills would go up - per month and large commercial monthly bills would increase - Get more business news by signing up for our Financial market Now newsletter