Sunday, November 16, 2008

Why We Keep an Eye on Xcel Energy, Wind/Batteries! Rates! (XEL) Part II

Part I is here.
From Die Welt:

Xcel Energy Files Electric Rate Case

Xcel Energy today proposed a $174.7 million electricity rate increase for Colorado, expected to become effective next summer. The increase is the result of the companys efforts to meet state energy needs through power generation expansion; continued emission reductions work; and system reliability improvements.

The filing today with the Colorado Public Utilities Commission (CPUC), would increase electricity bills for typical residential customers by $5.13 a month to $66.31, or 8.4 percent, based on use of 625 kilowatt-hours. Small-business customers would see an increase of $7.84 a month to $105.83, or 8 percent, based on use of 1,025 kilowatt-hours.

"Xcel Energy has made significant investments in recent years in our generation, transmission and distribution systems, to ensure that we have adequate, reliable, cost-effective and environmentally sound resources to meet the energy needs of Colorado, said Tim Taylor, president and CEO of Public Service Co. of Colorado, an Xcel Energy company....MORE

From the Minneapolis/St. Paul Business Journal:

Xcel may ask for Minnesota for rate increase based on Q3 slowdown

...The Minneapolis-based electric utility noted that cooler temperatures in the third quarter lowered margins on electric, as did a decline in residential electric sales growth. The ongoing financial crisis also motivated customers to conserve energy....

From the U.S. Department of Energy:

Green Pricing

August 2008 - Minnesota customers that are signed up for Xcel Energy’s Windsource voluntary renewable energy program found a pleasant surprise in their utility bills for July 2008. Windsource customers in the state actually paid less for wind energy than customers paid for fossil-fuel generated electricity. Windsource customers are exempted from paying a separate fuel cost (known as the energy cost adjustment) because wind energy does not use the fossil fuel paid for by the charge. When the fuel cost to conventional customers exceeds the Windsource premium, savings result for Windsource customers.

A similar situation occurred in Colorado in November 2005, when Xcel’s Colorado Windsource customers saved money relative to conventional energy costs. As a result of the savings, Xcel fully subscribed the Colorado Windsource program within weeks and established a waiting list for interested customers. In the Colorado situation, the effective price of wind power for Windsource customers remained below that of conventional power for six months, until April of 2006. The current savings for Minnesota customers, however, lasted only through July....MORE