Madison, Wis., April 15, 2013–Madison Gas and Electric (MGE) filed a
request with the Public Service Commission of Wisconsin (PSCW) today to
freeze both natural gas and electric base rates for all customers through
at least Dec. 31, 2014.
Last month MGE announced it achieved a $6.2 million savings in fuel-related
expenses in 2012 and that customers would benefit from these savings.
Coupled with an aggressive cost-containment program, the lower fuel
expenses allow the company to maintain the same electric rates for another
year. Natural gas rates also will remain unchanged for next year.
Assuming the same annual energy usage, a combined gas and electric
residential customer is paying about 10% less in energy costs today than
they were four years ago.
Since 2009, the Consumer Price Index has risen an average of 2.2% per year.
Since 2009 and extending through the rate freeze, MGE electric rates will
have risen an average of 1.9% per year.
“While there are clear signs of recovery, the economy is still fragile,”
said Chairman, President and Chief Executive Officer Gary Wolter. “The
company believes it can best contribute to the economic recovery by
providing rate stability to its customers,” Wolter added.
Despite the fact that gas and electric rates will not increase, the company
will continue making investments that improve reliability and significantly
MGE generates and distributes electricity to 140,000 customers in Dane
County, Wis., and purchases and distributes natural gas to 145,000
customers in seven south-central and western Wisconsin counties. MGE’s
parent company is MGE Energy, Inc. (Nasdaq: MGEE). The company’s roots in
the Madison area date back more than 150 years.