Consumer advocate challenges PUCO's actions in Duke rate increase
Wednesday, February 20, 2008
Duke Energy Ohio and the state's consumer advocate have filed competing arguments with the Ohio Supreme Court to challenge state utility regulators' decisions involving Duke's multi-year plan that increased electric power rates.
The Ohio Consumers' Counsel office is urging the court to reject the Public Utilities Commission of Ohio's ruling in October on the Duke plan, which set power rate increases from 2006 through this year. Duke has raised its rates by 37 percent since the end of 2005, saying that was necessary because of higher fuel costs and expenses of installing new emission-control technology at generating plants.
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The Consumers' Counsel claimed in its filing on Tuesday, Feb. 19, that the PUCO unlawfully failed to conduct a hearing on all the issues in a prior appeal of Duke's rate plan. The Consumers' Counsel, which represents residential consumers in utility rate cases, said the PUCO allowed Duke to pass along surcharges to consumers without requiring the company to justify those fees. The PUCO also failed to exclude the effects of side deals that Duke made with large industrial power users from the rate base for residential consumers, the consumer advocate contended.
Last week, Duke filed an appeal to argue that the PUCO exceeded its authority. The company is challenging the PUCO's decision that non-residential users could avoid certain charges associated with Duke's costs of being ready to serve them if they returned after being served by another electricity supplier.
The PUCO's lawyers are studying the appeals. The agency will reply later in court, spokeswoman Shana Eiselstein said.
State law allows appeals of PUCO decisions to the Ohio Supreme Court.
Contact this reporter at (937) 225-2242 or jnolan@DaytonDailyNews.com.
