Protecting the bottom line with rate case interventions
WIEG’s efforts on behalf of large energy users has led to significant results. In the last fifteen years, investor-owned utility rate hike requests have been reduced by 40% and roughly $2 billion. In addition, WIEG has successfully advocated for new market-based industrial tariffs. In just a few years, these efforts have resulted in savings of more than $120 million versus standard industrial tariffs without shifting costs to any of the utility’s other customer groups. Contact WIEG today to be part of our growing coalition and protect your company from additional utility rate hikes and costly proposed energy legislation.
WEPCO/WEGO/WG 2027-2028 base rate case (05-UR-112)
WEPCO filed an application for a $270 million or 7.3% average electric base rate increase in 2027. Industrial customers would have below average electric increases. Over two years, it would be a 12% average increase. Industrial customers would have an average of 8.7% electric increases over two years. Residential customers would have an average 16% electric increase over two years. Drivers of the rate increase request include capital expenditures (primarily solar), fuel (primarily from the Point Beach nuclear contract), sales forecast, O&M and transmission. The majority of the capital expenditures is driven by new solar, wind and battery projects that have already been approved by the PSC. WEPCO did not propose alternative financing for stranded assets such as levelization or securitization for Oak Creek Units 7-8. WEPCO is requesting a monitored fuel cost rate of $47.06/MWh, which is a net increase of $58.6 million from the $43.96/MWh approved for 2026. Wisconsin Gas customers had increases as large as 27% over two years.
WPSC 2027-2028 base rate case (6690-UR-129)
WPSC filed an application for a $68 million or 5.2% average electric base rate increase in 2027. Industrial customers would have below average electric increases. Over two years, it would be an 8.9% average increase. Industrial customers would have an average of 4.7% electric increases over two years. Residential customers would have an average 16% electric increase over two years. Drivers of the rate increase request include capital expenditures (primarily solar), O&M, Return on Equity and Capital Structure/Equity Layer, and transmission. The majority of the capital expenditures is driven by new solar, wind and battery projects that have already been approved by the PSC. WPSC is requesting a monitored fuel cost rate of $22.88/MWh, which is a net decrease from the $25.46/MWh rate approved for 2026. WPSC natural gas customers had increases as large as 54% over two years.
WPL 2027 Fuel Cost Plan (6680-ER-105)
WPL requested a $31 million net increase and a $0.002382/kWh surcharge in 2027. WPL currently has fuel costs of $15.57/MWH authorized for 2026. WPL is projecting 2027 fuel costs of $17.72/MWH. WPL has increased costs of coal and natural gas and increased cost of purchased power.
NSPW 2027 Fuel Cost Plan (4220-ER-104)
NSPW requested a $12.5 million net increase in fuel costs for 2027. If approved, it would be a $0.00185/kWh ECAC surcharge in 2027. NSPW had fuel costs of $22.18/MWH authorized for 2026. NSPW forecasted fuel costs of $23.92/MWH for 2027. NSPW reports an increase in natural gas generation and increased market purchases.
MGE 2027 Fuel Cost Plan (3270-ER-102)
MGE requested a $207,000 net increase and a $0.00007/kWh surcharge in 2027. MGE currently has fuel costs of $19.97/MWH authorized for 2026. MGE is projecting 2027 fuel costs of $17.40/MWH.
Other regulatory initiatives include:
WIEG successfully sought an incremental load Real Time Market Pricing (RTMP) tariff for We Energies’ customers. Following this win, WIEG successfully worked for the adoption of a similar tariff (New Load Market Pricing, or NLMP) for both WPSC and WPL customers.
WIEG also worked with WPSC and WPL to develop nominated load real time tariffs. WIEG negotiated changes to a WPSC tariff that is also called RTMP. Under the revised RTMP tariff, customers pay a $5.50 per MWh adder, but then pay day-ahead market prices.
A similar nominated load real time program was approved for WPL’s largest customers. The Day Ahead Market Pricing rider (DAMP) is now in place for qualified customers.
Together, these new tariffs help promote economic growth and development in Wisconsin, without shifting costs to any of the utility’s other customer groups. In just a few years, these efforts have resulted in savings of more than $120 million versus standard industrial tariffs.
Recent legislative initiatives include:
Coalition efforts to block passage of monopoly construction legislation
Anti-competition, anti-consumer legislation was defeated in the last two legislative sessions. Wisconsin’s electric rates are already too high for businesses. Unfortunately, Wisconsin’s utilities have introduced yet another version of the transmission Right of First Refusal (ROFR) bill this legislative session. There is a major coalition effort to defeat AB 25/SB 28 and AB 174. Please contact us to find out how you can be part of the growing coalition.
Industrial RRCs & waste heat recovery/waste heat to power
Industrial customers can create and keep renewable resource credits (RRCs) in Wisconsin, including from waste heat recovery projects. WIEG was instrumental in passing two new laws to help keep energy-intensive operations competitive in Wisconsin (2013 Act 300 and 2017 Act 53). Applications are now available on the PSC’s website.
