EL PASO, Texas (KTSM) — A final decision on El Paso Electric’s proposed rate increase is expected next month by the Public Utility Commission of Texas. The rate hike has faced pushback, namely from the City of El Paso, who rejected the proposal in June 2024.
El Paso Electric is asking for a $93 million increase to its annual revenue requirement. If approved, the City of El Paso has estimated the typical residential bill would rise $22.39 per month, which is about a 23% increase. It’s the first rate review for El Paso Electric since June 2021, which went into effect in August 2022.
Because El Paso Electric declined to negotiate with the City of El Paso, the City took the case through a contested hearing before administrative law judges for the first time in more than 30 years, who recommended a lower profit allowance (9.4% return on equity instead of 10.7%) among other suggestions…