LAS VEGAS (KTNV) — We're approaching a full year of continuing coverage of NV Energy's various scandals, from inappropriate charges to overcharges to controversial new billing methods.
NV Energy once again finds itself on the hot seat as the monopoly utility clashes with regulatory staff at the Public Utilities Commission. New documents filed in a case could end with NV Energy paying a $1 million fine.
WATCH | Darcy Spears is continuing her coverage on NV Energy with new developments about the company facing a possible $1 million fine
NV Energy is crying foul over that proposed fine, pleading its case to the Public Utilities Commission just as that state agency is facing a potential lawsuit over siding with the utility in another matter. Watchdog groups, including the Attorney General's Bureau of Consumer Protection, are preparing to sue the PUC for approving NV Energy's new daily demand charge. But that's just one of several cases where NV Energy is mired in controversy.
PREVIOUS COVERAGE | Darcy Spears reports on watchdog groups challenging PUCN over approval of NV Energy's daily demand change
In this case, state investigators say NV Energy tried to pull a fast one, breaking a promise not to charge customers for repairs that were caused by the utility's own negligence in 2022.
State records show NV Energy violated Nevada's "One Call" law. That law requires homeowners and contractors to call 811 before they dig to help protect against accidentally hitting underground gas, water or electric lines.
PUC staff found NV Energy's line locating contractor mis-marked areas. One near Durango and Arby resulted in more than $50,000 in utility property damage. Another near the intersection of Rainbow and Cheyenne caused an hours-long power outage, impacting more than 2,500 customers.
To settle those violations, the commission ordered NV Energy to pay a $35,000 fine and "not to seek recovery of any costs associated with the damage from ratepayers."
But PUC staff say that didn't happen. In a legal brief filed Friday, staff says NV Energy "clearly failed, neglected or refused to obey an Order of this Commission" by sneaking those repair charges into its general rate case, which would've forced the cost onto customers.
NV Energy's answering brief, also filed Friday, says those costs were "inadvertently included" and were removed from its general rate case. But the PUC's filing says that only happened because NV Energy got caught by state staff. They say it's a repeated violation, showing a pattern of bad faith by the utility.
The arguments in the new documents go back and forth. PUC staff are standing firm that the violations merit a $1 million fine. NV Energy says that's "unreasonable" and that a fine of $75,000 is "appropriate." There are, as of now, no further dates set in this case.
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