Seniors lack power but generate outrage at NV Energy rate increase

Eyes widened. Jaws dropped. Then my phone started ringing.

It can safely be reported that the arrogance of NV Energy's proposed 17.5 percent residential electricity rate increase shocked many Southern Nevadans. They were staggered by the size and timing of the utility's request.

In the grip of a recession, with experts predicting a continued economic downturn through 2009, a call for any increase seems outrageous on its face. The fact NV Energy's senior executives are paid like big-league ballplayers only contributes to the image that the company's hierarchy just doesn't get the big picture.

If the usual bait-and-switch scenario holds true, state utility regulators will take great umbrage at the NV Energy request -- and grant only half its proposal. The company's needs will be justified by lawyers, pitchmen and flow charts. A sop to the poor will be made in the form of a 15 percent discount, and the company will praise itself for its sensitivity in waiting until after the heart of the summer swelter for the increase to kick in.

At the end of the process, your power bill likely will go up about $25 a month at a time authorities believe Southern Nevada still will be mired in recession.

That might not be the end of the world for some people, but it places a lot of seniors on fixed incomes beyond the end of their slender financial rope. Nevada's gray brigade is highly agitated, and with good reason. Seniors figure to be out in droves when NV Energy finally makes its case in a public hearing.

Donald Berke will need to make his voice heard. The proud 77-year-old is on Social Security. His 74-year-old wife, Isabel, works at Walgreens to help make ends meet. He will join her in the workforce once his foot heals following a diabetes-related toe amputation. The couple already has taken to paying its higher power bills in installments.

"I can't hardly pay the electric bills now," Berke said. "Close to a 20 percent increase in the summer will mean $200 and $300 power bills. I can't pay them between the mortgage, medical insurance stuff and food costs. I'll tell them I can't pay that full bill right now. It's a no-win situation for a lot of people who don't have a lot of money."

He'll be joined by fellow pensioner Dave Howe, who notes the cruel irony of an electricity rate hike following his 5 percent Social Security cost of living increase.

"It's going to be eaten up three times if they go with anywhere near their 17 percent request," Howe said. "They always ask for more and settle for less. As it is, we're bargain shoppers. We're coupon people out of necessity. We don't go from store to store. We make it one trip."

While others are voicing their concerns, 67-year-old retired casino bell captain Russ Lewis is ready to indict the power company for yet another rate increase attempt following substantial quarterly profits.

"It's the biggest burglar in the state, and I've lived here since I was discharged from the Army" in 1964, Lewis barked. "Nevada Power did this last year. I'll be a dirty name if they're not doing the same damn thing this year. I got my increase from Social Security, and they jack up the rates."

A nonsmoker who suffers from lung disease, he said even a slight increase will have an impact on his quality of life at the worst possible time. What will he do?

"I couldn't pay it," he said. "I roll ace-deuce. I'm on a fixed income. Everything goes up but my income."

Like many people, Lewis noted that the incomes of the power company's top executives haven't exactly stayed fixed. Corporate vice presidents who receive well more than $1 million a year in salary and benefits don't engender much understanding from users of the so-called public utility.

At the Berke house, Donald cursed his diabetes and hoped his foot would heal enough for him to work a few hours.

"We're going to have to cut back on something else," he said. "There's only so much you can do. We only have so much money coming in."

These shocked seniors are fighting mad, and they plan to tell NV Energy to get stuffed.

Without help, their loudest protest won't prevent higher power bills from arriving in their mail.

John L. Smith's column appears Sunday, Tuesday, Wednesday and Friday. E-mail him at Smith@reviewjournal.com or call (702) 383-0295. He also blogs at lvrj.com/blogs/smith.