Utility requests rate increase to offset fire costs, new power lines
CASPER (WNE) — Rocky Mountain Power, Wyoming’s largest public utility, filed a request to increase customer rates in order to underwrite new infrastructure and cover the rising costs of insurance premiums relating to wildfire risk.
The company is seeking to levy an additional $123.5 million, or an overall increase of 14.7%, resulting in an extra $17.17 per month for the typical residential customer.
Around half of the increase is requested to pay Wyoming’s share of new infrastructure projects, including Gateway South and Gateway West transmission lines, and the Rock Creek wind project, which go into service this year.
The other half of the rate increase proposal is driven by wildfire liability.
“Increasing costs for commercial excess liability insurance are far beyond anything the company has experienced before. Excess liability insurance costs were up 270% in one year, and the 2023-24 policy year represents a 1,888% increase over the last five years,” the company said in a statement.
This story was published on August 4, 2024.