The Iowa Utilities Board agreed this week to MidAmerican Energy’s request for a rate increase related to higher costs. Utilities Board spokesman, Rob Hillesland, says MidAmerican electric customers will see an increase in their bills.
“Residential customers should have noticed already that there were temporary rates that were in effect since March, and the estimated monthly bill impact of that was about two-dollars and 33-cents. That will remain in effect,” Hillesland says.
“Starting 2013 average residential customers should also expect to see about an additional one-dollar and 30-cents on their monthly bill.” Hillesland says the increase was approved to allow MidAmerican to pay for extra production costs.
He says the utility had increased expenses from environmental compliance for some of their electric plants, and also for coal and coal transportation costs. Most rate increases go through a longer process to be approved, but Hillesland says there is a provision for these types of cases.
“It’s not very often or very frequent, this is not a full or traditional rate case. It is a situation where…testimony indicated that a revenue increase of a much higher amount may’ve been warranted,” Hillesland says. MidAmerican was able to increase its revenue by $38.7 under the temporary rate increase, and will get an additional $37.3 under the permanent increase approved for 2013.