The Daily Sparks Tribune

Nevada Consumer Advocate Timothy Hay

Proposed rate increase hearing draws angry crowd
by Willie Albright, Tribune Staff

SPARKS (Feb. 4, 2002) — More than 200 people mostly critical of rate hikes proposed by Sierra Pacific Power Co. turned out for a consumer session Monday at Mendive Middle School in Sparks.

Sierra Pacific filed its most recent request with the Public Utilities Commission on Friday. That request is for an increase in general revenues of $28 million and $205 million in deferred energy costs.

The PUC held the consumer session to allow the public to comment on the proposed rate increase.

The rate increase is opposed by the Nevada Utility Reform Alliance, a citizens' group that meets regularly in the home of longtime Sparks resident Rosalie Beasley who, 20 years ago, helped create the state's Consumer Advocate office.

"I am willing to forfeit my stock and let Sierra Pacific go bankrupt and turn it into a municipal-owned company," Beasley said to loud applause from the audience.

"That way we could get rid of the stockholders with their rate of return and some of the underhanded dealings Sierra Pacific has undergone."

According to Beasley, the Legislature passed laws that let fallen energy giant Enron "get their hooks into our power source." She said the only companies that survived the power blackouts and soaring power rates of last year were the municipal companies.
"It's time we really did some major overhaul instead of Band-Aid remedies," Beasley said.

"We could own this company for what it's costing us in raises (for Sierra Pacific executives) the last few years and what it will cost us in years to come."

Sierra Pacific CEO Jeff Ceccarelli, who attended the consumer session, was asked what his salary is, but declined to say. Instead, he told the audience to look the information up on the company's Web site.

However, salary information for Ceccarelli is not available on the site, although it shows that Walt Higgins, head of Sierra Pacific Resources — the company that owns Sierra Pacific Power Co. and Las Vegas-based Nevada Power Company — makes at least $1.4 million a year in salary and stock.

Nevada Power Company is asking for a 27 percent rate hike of $922 million. According to PUC spokeswoman Cynthia Messina, hundreds of outraged rate payers attended a consumer session in Las Vegas last week to protest that request.

Sen. Joe Neal, D-N. Las Vegas, who attended that meeting, pointed out that Nevada's power deregulation bill was written by an Enron lobbyist. That bill and subsequent attempts to repeal and then partially reinstate it lie at the root of the current round of rate hike requests, Neal said.

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DO SOMETHING ABOUT ALL THIS — CONTACT YOUR LEGISLATOR. HERE'S HOW.

In the north, Sierra Pacific is requesting an overall increase of 9.9 percent in electric rates to recover costs for fuel and power purchased by the company last year.

According to Sierra Pacific, the proposed increase for residential customers is 7.7 percent, but that figure would actually be lower when combined with a 2.5 percent decrease the company proposed in November.

The company also filed a request to extend the recovery period over three years. Sierra Pacific estimates that an average residential customer using 715 kilowatt hours of electricity each month would see an increase of about $4 monthly.

All comments become part of the permanent record and will be considered by the PUC when in holds a formal hearing on the request on April 8.

© 2002 Daily Sparks Tribune, used by permission.

FULL TEXT OF ROSALIE BEASLEY'S REMARKS TO THE COMMISSION

"I am willing to forfeit my stock and let Sierra Pacific go bankrupt and turn it into a municipal-owned power company. That way, we could get rid of the stockholders with their rate of return and some of the underhanded dealings Sierra Pacific has undergone.

"Our legislators passed laws that let Enron get their hooks into our power source and we all know what Carson is by now. The only companies that survived the blackouts and soaring power rates were the municipal companies.

"It's time we really did some major overhaul instead of Band-Aid remedies. We could own this company for what it's costing us in raises the last few years and what it will cost us in years to come."

ROSALIE REVISITED — Like Ms. Beasley in 1980, an activist starts a protest petition

PETITION ORGANIZATIONAL MEETING — Monday, March 4, 6:00 p.m., Round Table Pizza, Spanish Springs north of Sparks. Call Wanda Wright, (775) 327-4677.

Latest list of locations at which to sign the protest petition

A WORD OF CAUTION: Some well-intentioned people have been proceeding under the impression that with enough signatures, this petition can stop Sierra Pacific/Nevada Power's current round of rate hikes. Alas, that's not the case.

For the most part, only expert evidence presented on the record at a formal Public Utilities Commission rate hearing can be given any weight in a ratemaking proceeding. That's why ratepayers fund the consumer advocate's office.

The petitioning work is nonetheless very important, as it will give officials up for re-election this year and the commission an indication of public outrage and perhaps motivation to do something for consumers.


CARSON CITY

Rheba Montrose
(775) 841-4285

Lamplighter's Lounge 260 W. Winnie Lane

E. Winnie Lane -- FRONTIER TRAVEL CROSSROADS LOUNGE

Elaine and Dolores off Airport Road, 885-2891

Capital Alternator and Starter Supply, 3444 Centennial Park Drive

Specialized Motorcycles
5925 Hwy 50 East

DOUGLAS COUNTY

Carol and Andy Voge, Gardnerville, 782-6544

LYON COUNTY

DAYTON
Dayton Market
670 Highway 50 East

FERNLEY
Jackpot Truck Stop

STAGECOACH
Margo Easley
Phone (775) 885-8200
Fax 885-2131

LYON COUNTY (cont.)

YERINGTON
Carol Smith, 463-9331
Bernie Matton, 241-0640

WASHOE COUNTY

SUN VALLEY

BiRite

Hobey's

Sun Valley General Improvement District


LEMMON VALLEY

Hometown Cafe

Mt. Valley Feed


COLD SPRINGS


The General Store


WASHOE VALLEY —
E. Lake Blvd.


7-11

Blockbuster Video

The Deli

RENO

WW RANCH SUPPLY
790 S. Virginia Street
near downtown
10:00 a.m-5:00 p.m.
Wanda Wright
(775) 327-4677


TWO DOLLAR FABRIC Plumb Lane & Kietzke

RIDGEVIEW CENTER (SAFEWAY/SHOPKO) Southwest corner of Mae Anne and McCarran, 9:00 a.m to 2:00 p.m. most weekdays except when it's raining or snowing.
Contact Marie Schell
(775) 787-0789

Tammy Wise

SPARKS

The Establishment
818 Holman Way

Spanish Springs Shopping Center -- Post 'n' Pac

Robert Hartmann, CPA and Landfinder Country Properties
1010 12th Street

Daily Sparks Tribune/
Big Nickel


Big Nickel customer desk 10th & "C" Street downtown

Carson City and rural locations spread like wildfire


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