MADISON, Wis., May 3, 2012 /PRNewswire/ -- Wisconsin Power and Light Company (WPL), a subsidiary of Alliant Energy Corporation (NYSE: LNT), filed a request today with the Public Service Commission of Wisconsin (PSCW) to implement a retail electric base rate freeze proposal for calendar years 2013 and 2014 and a retail gas base rate reduction for 2013.
Specifically, WPL is requesting retail electric customer base rates remain at their current levels through 2014 and is asking to reduce annual retail gas base rates by $13 million or 7.0% in 2013, followed by a freeze of those rates for 2014. Under WPL's proposal, for a residential customer using 800 therms of natural gas annually, the 2013 decrease would total approximately $55 for the year.
"Alliant Energy is committed to aggressively managing our costs so that we can minimize customer rate increases while continuing to meet our reliability goals and environmental obligations," said Patricia Kampling, Alliant Energy Chairman, President and CEO. "This rate freeze proposal provides a level of certainty and continued relief for our customers and communities that have not yet fully recovered from the recession."
The PSCW approval process for the proposed retail electric and gas base rate freeze is expected to take several months. If approved, the rate freeze proposal would become effective January 1, 2013 and extend until the end of 2014. WPL has requested no change in the targeted return on equity in its proposal.
Recovery of WPL's proposed purchase of the Riverside Energy Center and the cost for emission controls at Edgewater Generating Station Unit 5 (in service 2012) and at Columbia Energy Center Units 1 and 2 (in service 2014) are factored into the request. These and other costs are offset by benefits of deferred tax assets, lower capacity costs and changes in regulatory amortizations. Under PSCW rules, WPL is still required to file an annual electric fuel cost plan for calendar years 2013 and 2014. While electric base rates would not change under the WPL rate freeze proposal during 2013 and 2014, increases or decreases in fuel costs could impact customer rates during that time.
Wisconsin Power and Light Company (WPL), based in Madison, Wis., provides electric service to approximately 459,000 customers and natural gas service to approximately 180,000 customers in more than 600 communities across central and southern Wisconsin. WPL is committed to providing the energy and exceptional service its customers and communities expect – safely, reliably, and affordably. WPL is a subsidiary of Alliant Energy Corporation, for more information, visit alliantenergy.com or call 1-800-ALLIANT (800-255-4268).
SOURCE Wisconsin Power and Light Company