MGE’S Community Energy Workshop Advances Energy 2030 Framework

Madison Gas and Electric has hosted its Community Energy Workshop at Monona Terrace where about 200 community leaders and members, representing a diverse cross section of the community, discussed issues related to our energy future. Participants generated input to help inform the company as MGE advances its Energy 2030 framework and future engagement efforts.

• Interactive workshop part of multistep engagement process started last year.
• Featured deliberative dialogue among diverse cross section of about 200 community leaders and members.
• Followed nearly 100 Community Energy Conversations with customers.
• Designed to inform MGE as company advances Energy 2030 framework and community engagement.
• Workshop videos, summary of themes at for customers to review.

MGE’s independent facilitator for its Community Energy Conversations, Justice and Sustainability Associates (JSA), designed the Community Energy Workshop. JSA’s CEO, Don Edwards, facilitated the Workshop. The topics discussed by participants included advancing MGE’s Energy 2030 framework in a changing energy world, new energy products and services, and community engagement. The videos presented at the Workshop have been posted at Visitors will also find a summary of themes generated by the input from Workshop participants. Visit our Community Energy Workshop web page for videos and the summary of themes. Anyone may submit feedback to MGE by email. The input from the Workshop will inform further MGE’s efforts to advance its Energy 2030 framework and build a community energy company for the future.

MGE Files Rate Changes for 2017

Madison Gas and Electric has filed an application with the Public Service Commission of Wisconsin to increase electric and natural gas rates in 2017.

Rate changes at a glance:
• MGE requests 1.7% increase in electric rates for 2017.
• MGE requests 3.7% increase in natural gas rates for 2017.
• MGE is not requesting any increase to the fixed charge for residential and small business customers in 2017.
• Primary driver for rate increase is infrastructure improvements to ensure continued reliability and safety of electric grid and natural gas system.
• Average annual increase in MGE’s rates from 2013-2017 remains lower than the projected increase in Consumer Price Index.

The request would increase overall electric rates by 1.7% in 2017. It also would increase overall natural gas rates by 3.7%. If approved, the typical residential electric bill would increase by $1.50 a month, and the typical natural gas bill would increase by $1.70 a month. The proposed changes would take effect January 1, 2017. MGE is holding to its commitment under its Energy 2030 framework and not requesting any increase to the fixed charge for residential and small business customers in this filing.

The primary reason for the rate request is continued reliability:
• Transmission infrastructure improvements to ensure the continued reliability of the electric grid. MGE continually ranks among the top utilities in the country for electric service reliability. In 2015, 73% of MGE customers did not experience an outage.
• Natural gas system infrastructure improvements to ensure the continued reliability and safety of the natural gas system.

In the filing, some increases in electric operating expenses are offset by decreases in fuel costs. With this proposed rate increase, the average annual increase in MGE’s electric rates from 2013 through 2017 will equal 0.5% while the average annual increase in MGE’s natural gas rates also will equal 0.5%. In comparison, the projection for the Consumer Price Index for the same period is an average of 1.4% per year.

MGE Partners with Local Banks

Madison Gas and Electric has announced a financing partnership
with seven regionally and locally owned banks operating through-
out MGE’s service territory. The $40 million unsecured revolving
credit facility will be used for general corporate purposes.

“Raising capital in MGE’s service area helps form strong partner-
ships,” according to Jeff Newman, MGE Vice President and Chief
Financial Officer. “We’ve put in place a new form of financing that
provides us with liquidity and diversifies our lender base. In the
process, we’ve established new relationships with banks operating
within MGE’s service area that are also our customers.”

Neitzel Leaves Madison Gas & Electric to Accept State Appointment

Scott Neitzel Secretary, DOA

Madison Gas & Electric Vice President Scott Neitzel has resigned to accept an
appointment by Wisconsin Governor Scott Walker as Secretary of the State Department of Administration (DOA). The position is generally considered to be the second most powerful position in state government.


The Wisconsin Public Service Commission has ruled in three
separate rate cases brought by Wisconsin Public Service
Corporation, We Energies and Madison Gas and Electric. In
all three cases, the utilities were allowed to increase their
fixed charges. These increases are offset by reductions in the
variable charge. We Energies fixed rate would increase from
$9 to $16 a month. MG&E’s fixed rate would rise from $10.44
to $19. PSC Chairman Montgomery said the changes were “an
exercise in customer fairness.” Wisconsin Utility Investors had
strongly supported the changes.

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