PSC denies MGE rate request amid pension problems

A story on WISC-TV:

MILWAUKEE -- Wall Street's troubles might mean higher utility costs for Wisconsin consumers.

Madison Gas & Electric Co. has asked the state Public Service Commission for permission to raise electric rates to generate $2.5 million to offset losses in its pension fund.

The PSC denied the request on Wednesday but agreed to let the utility ask again next year.

PSC chairman Eric Callisto said that's because "this is a once-in-a-lifetime crisis."

Callisto said rising pension costs as a result of the market's downturn also are likely to play into rate increase requests from Wisconsin Power & Light Co. of Madison and Wisconsin Public Service Corp. of Green Bay.

We Energies spokesman Brian Manthey said pension costs might play a small role in its spring rate proposal.