Updated August 17, 2023 - 10:23 am
NV Energy customers across the state should expect a slight decrease in their energy bills during the last few months of 2023 as rates are set to decline.
The utility has filed a slight energy rate decrease with the Public Utilities Commission for its customers in Southern and Northern Nevada that will take effect at the start of October and stay in place until the end of 2023.
The average decrease for all Southern Nevada customers will be 1.02 percent and the average decrease for Northern Nevada customers will be 2.47 percent.
Here is what the impact will look like for residential Southern Nevada customers:
— For residential single-family customers the rate decrease will be 0.64 percent which should lower the average monthly bill by $1.20.
— For residential multifamily customers the rate decrease will be 0.68 percent which should decrease the average monthly bill by 75 cents.
Here is what the impact will look like for residential Northern Nevada customers:
— For residential single-family customers the rate decrease will be 1.9 percent which should lower the average monthly bill by $2.40.
— For residential multifamily customers the rate decrease will be 1.97 percent which should lower the average monthly bill by $1.41.
NV Energy credits the rate decrease to the cost of fuel lowering in recent months which lowers the 12-month rolling average price point the company buys fuel. Additionally, expensive fuel months seen in 2022 and early 2023 are having less of an impact on that average price, Meghin Delaney, media relations manager for NV Energy said.
These two rate drops will decrease NV Energy’s revenue by about $56.8 million, of which about $31.6 million will come from Southern Nevada and $25.2 million will come from Northern Nevada. This revenue doesn’t contribute to the company’s overall profits and covers the cost of buying power.
This decrease is the first simple decrease NV Energy has done for its electricity rates in the last five quarters, last quarter it received permission to financially maneuver the impact of its quarterly rates to give customers a slight decrease of 2.9 percent. There is an expectation from NV Energy ithat ts quarterly rate adjustments could continue to decrease in the future.
“We anticipate this rate will continue to go down, as those increased costs of fuel and purchased power roll off,” Delaney said in an emailed statement. “As long as market conditions continue to stabilize, we anticipate a decrease of approximately 35 to 40 percent in the combined (quarterly energy) rates towards the second half of 2024.”