OCR Text |
Show Groups file protest on CPN rate hikes president of the Parowan Valley Pumpers. Pickett told the Iron County Record that the increase would give CP National a 25 percent rate of return. Kim C. Mahoney, CPN director, energy rates, said in pre-filed testimony, however, that the rate of return would be 11.4 percent. Pickett argues with that figure because it is based on a investment of $7.5 million. This is the figure quoted by see POWER on page A4 Farmers and ranchers in Iron and Washington counties have filed a protest and hired a lawyer to fight against the proposed increase in area electric rates by CP National. The Parowan Valley Pumpers and the Enterprise Pumpers have hired Steven Randall, a well-known utilties lawyer, to argue their case before the Utah Public Service Commission next week. CP National has applied to the PSC for a 31.2 percent increase, and "it's way too high," said Jess Pickett, JOWCl continued from page A 1 pounded as it should be. According to his figures, the increase should total 187.03 percent. And he also pointed out that increases for pumpers, who must use electric pumps to irrigate their fields, are much higher. He estimated that in 1975, 200,000 kilowatt hours cost $2,750. Today that cost has risen to $8,928, an increase of 224 percent. If the PSC grants the rate increase it will raise that price another 34.4 percent per-cent to a a total of $11,997, said Pickett. CPN officials, but Pickett said that the total amount has not been invested. In fact, only $4.5 million has been invested thus far. Thus, said Pickett, the company is trying to receive revenues before the investment takes place, raising the rate of return more than the company says. Pickett also quoted figures for the total percentage of increase in CPN rates over the past six years. According to Pickett, CPN is claiming a total increase of 112.14 percent since May 23, 1975. However, he said, that percentage is not corn- |