From: Frank Young [mailto:fyoung@mountain.net]
Sent: Monday, June 11, 2007 10:10 PM
To: Lew; WVHCBOARD@yahoogroups.com
Cc: Jim Kotcon; Bill DePaulo; Dave Saville; Grubb, Karen
Subject: Allegheny proposes rate increase for proposed transmission line

 

Allegheny proposes rate increase for proposed transmission line

CHARLESTON, W.Va. (AP) -- Allegheny Energy wants a rate increase for the West Virginia piece of a proposed 240-mile interstate transmission line after all.

The Greensburg, Pa.-based electric company asked the Public Service Commission for a 4.2 percent rate hike last week because of a Federal Energy Regulatory Commission decision, Allegheny spokesman Allen Staggers said. Allegheny did not ask for an increase in March, when it filed for PSC approval of the West Virginia portion of the transmission line.

Since then, however, the Federal Energy Regulatory Commission has reconsidered the allocation of construction costs for the project, prompting Allegheny to seek the rate increase, Staggers said. Construction is expected to cost about $1.3 billion.

Allegheny's 492,000 residential customers in the state would see their bills increase about 90 cents a month if the rate hike is approved.

Allegheny plans to build the transmission line with Richmond, Virginia-based Dominion Energy. The line would begin in Washington County, Pa., move into Greene County, Pa., and cross West Virginia to Loudoun County, Va.

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Information from: The Dominion Post, http://www.dominionpost.com