WEPCO Cases

We Energies
Biomass Power Plant
Docket 6630-CE-305


On March 15, 2010, We Energies asked the PSC for permission to build a 50-megawatt cogeneration power plant that will run on biomass and produce steam as well as electricity.  CUB will intervene to make sure the cost of the plant is reasonable.

 

We Energies
Rate Case for 2010-2011
Docket 05-UR-104


On March 13, 2009, We Energies (WE) filed an application with the PSC to increase electric rates by 2.8 percent and natural gas rates by 4.6 percent, with the new rates taking effect on January 1, 2010.  On July 3, 2009, We Energies modified its request to raise electric rates by a total of $127 million, or 4.9 percent.

CUB intervened in the case and reviewed We Energies' requests for recovery of costs related to burning excess coal, costs associated with the Midwest Independent Transmission System Operator (MISO), We Energies' off-balance sheet obligations, rate allocation and design, and whether We Energies had too many power plants on-line, which could unnecessarily cause electric rates to be higher than reasonable. 

The PSC issued its decision regarding rate increases for We Energies on December 18, 2009.  The PSC approved an increase in electric rates of $85.8 million (3.4 percent) and a decrease in gas rates of $2.1 million (0.35 percent).

The PSC agreed with CUB and reduced We Energies rates by $17.3 million, including: a reduction of $2.3 million for unnecessarily burning excess coal; a reduction of $3.8 million for extra costs associated with MISO; and a reduction of $11.2 million by lowering We Energies' return on equity (profits) from 10.75 percent to 10.4 percent. 

The PSC also agreed with CUB and will open an investigation to address the fact that Wisconsin utilities have too many power plants on-line, a situation known as "excess capacity."


We Energies
Declaratory Ruling
Docket 6630-DR-105

On November 5, 2008, We Energies submitted a request for a "declaratory ruling" by the Commission to approve plans and future costs associated with meeting Wisconsin's requirement for renewable electricity.  CUB is intervening in this docket, and will challenge We Energies request for a declaratory ruling, which if granted, would provide We Energies with a "blank check" for meeting renewable electricity requirements.


We Energies
Glacier Hills Wind Farm
Docket 6630-CE-302


On June 18, 2008, We Energies submitted a request to the Commission for authorization to build a 200 megawatt wind farm at an expected cost of $450 million in Columbia County.

The PSC approved the project on January 22, 2010.  The PSC agreed with CUB that going forward, We Energies will need to use a more thorough process for evaluating proposed wind projects developed by the company and competing proposals developed by others.  The goal of this improved selection process is to make sure the best and lowest cost wind projects are selected for providing wind power to the customers of We Energies.


We Energies
Addition of Pollution Controls to the Oak Creek Power Plant
Docket 6630-CE-299

On June 21, 2007, We Energies applied for permission from the PSC to install pollution control devices on the Oak Creek Power Plant.  The utility estimated that the pollution control devices would cost $820 million, which was about the same cost as a new power plant.

CUB and the environmental group Clean Wisconsin intervened in this case together, to explore whether We Energies looked at reasonable alternatives to installing pollution control equipment on an old power plant.  These alternatives included retiring the Oak Creek Power Plant and, instead, making investments in energy efficiency or renewable energy. 

CUB and Clean Wisconsin also examined the assumptions used by We Energies to estimate the costs of the pollution control equipment, and whether the equipment would allow We Energies to comply with clean air requirements.

Based on our analysis, We Energies did not provide enough evidence to support placing pollution controls on the Oak Creek plant.  CUB and Clean Wisconsin urged the PSC to reject We Energies' application.

The PSC decided the case on June 27, 2008, and ruled in favor of We Energies. Pollution controls will be added to all four boilers.


We Energies
Rate Case for 2008 & 2009 Rates
Docket 05-UR-103

On May 7, 2007

We Energies applied to the PSC to raise its electric rates by $712 million or 28 percent in 2008, the largest single-year increase in the utility's history.  The utility had also requested to raise its natural gas rates by about 4 percent for 2008. 

In its request, We Energies asked for permission to collect higher rates to cover costs from increases in the price for fossil fuels used to produce electricity, for higher costs to transmit power on high-voltage transmission lines, and to pay for higher costs caused by the regional electricity marketplace operated by the Midwest Independent Transmission System Operator (MISO). 

Once the sale of the Point Beach Nuclear Plant was completed, We Energies reduced the electric rate increase to 7% in 2008 and 7% in 2009.

CUB challenged many aspects of We Energies' request to increase rates, and urged the PSC to require We Energies to offer innovative rate designs so that its customers can use electricity more efficiently.

On January 17, 2008, the PSC issued its written order.  The PSC approved an increase in 2008 electric rates of 3.4% and gas rates of 2.2 percent.  The PSC agreed with CUB that We Energies was responsible for causing an outage of Point Beach to last longer than it should have.  The lengthy outage forced We Energies to purchase $22 million in electricity, and therefore, We Energies was not allowed to recover the $22 million from ratepayers.  The PSC also agreed with CUB that We Energies could  not keep $70 million in proceeds from the sale of Point Beach for contingencies.


We Energies
Proposed Sale of Point Beach Nuclear Power Plant
Docket 6630-EI-113

On December 20, 2006, We Energies proposed to sell Pt. Beach to FPL Energy, a subsidiary of a Florida-based utility holding company.  CUB opposed the sale because of concerns that rates would go up for We Energies' customers, and that Wisconsin would lose jurisdiction over a nuclear power plant located in Wisconsin. On September 5, 2007, in a 2 to 1 vote, the Commission approved the sale of the plant to FPL.