CHICAGO, Feb. 17 /PRNewswire-FirstCall/ -- Integrys Energy Group, Inc. , an operator of regulated natural gas and electric utilities and a nonregulated energy related business unit, recently announced that two of its subsidiaries, The Peoples Gas Light and Coke Company (Peoples Gas) and North Shore Gas Company (North Shore Gas) have filed rate cases with the Illinois Commerce Commission. The new rates requested are:
Rate Case Summary Peoples Gas North Shore Gas Revenue Increase $161,920,000 $21,986,000 Approximate Percentage Increase 10% 6% Rate Base $1,396,058,000 $179,245,000 Percent of Equity in Capital Structure 56% 56% Return on Equity 12% 12%
Currently, Peoples Gas and North Shore Gas have an authorized return on equity of 10.19% and 9.99%, respectively, and a 56% equity ratio for both companies.
New rates, if approved, would go into effect in 2010.
Both the Peoples Gas and North Shore Gas rate case filings are based on a 2010 forward-looking test year and include riders for the gas cost component of bad debt expense. In addition, the Peoples Gas proposal includes a rider for the accelerated replacement of the cast iron main system.
The companies are seeking recovery of the increasing costs of maintaining and replacing an aging infrastructure over time and also proposing to accelerate the infrastructure replacement to more quickly achieve cost savings of a new and modernized delivery system that would benefit customers. The companies are also seeking recovery of other cost increases, such as employee and retiree health care and pension benefits and administrative costs.
The rate case process in Illinois requires receipt of a written order from the Illinois Commerce Commission within 11 months from the date of filing, which would be in January 2010.
About Integrys Energy Group, Inc.
Integrys Energy Group is a diversified holding company with regulated utility operations operating through six wholly owned subsidiaries, Wisconsin Public Service Corporation, The Peoples Gas Light and Coke Company, North Shore Gas Company, Upper Peninsula Power Company, Michigan Gas Utilities Corporation, and Minnesota Energy Resources Corporation; nonregulated operations serving the competitive energy markets in the United States and Canada through its wholly owned nonregulated subsidiary, Integrys Energy Services; and also a 34% equity ownership interest in American Transmission Company LLC (an electric transmission company operating in Wisconsin, Michigan, Minnesota, and Illinois).
More information about Integrys Energy Group, Inc. is available online at http://www.integrysgroup.com/.
