July 23, 2003

The Michigan Public Service Commission (MPSC) today approved a settlement agreement that authorizes the Wisconsin Public Service (WPS) Corporation to implement an increase to its retail electric base rates by $300,000 annually. 

The agreement announced today also authorizes the company to treat American Transmission Company, LLC and Midwest Independent System Operator transmission costs as power supply cost recovery costs and authorizes it to recover these transmission costs through its power supply cost recover clause.   Specifically, the company is authorized to implement a power supply cost recovery factor of up to a revised negative $0.00305 per kilowatt-hour in its monthly billings to its Michigan retail electric customers through December 31, 2003. 

The company, on February 6, 2003, filed an application requesting an increase of its base rates for retail electric service by $1,420,783.  In that application it also sought power supply cost recovery treatment and recovery through the PSCR clause, of the transmission charges it pays to two Regional Transmission Organizations.  At that time, WPS Corporation also filed a motion for partial and immediate (P & I) rate relief, requesting an interim base rate increase of $908,251 annually, later amending its P & I request to $612,066 annually.

WPS Corporation is headquartered in Green Bay, Wisc. and provides electric service to about 9,600 Michigan electric customers.

The MPSC is an agency within the Department of Consumer and Industry Services.


Case No. U-13688

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