Empire District denied electric rate increase request

The Missouri Public Service Commission has denied Joplin-based Empire District Electric Co.'s request to implement a roughly $6.2 million interim electric rate increase.

The commission's vote was 3-1 against the request, which would have raised the bills for the company's electric customers by about 1.5 percent, according to a news release from the commission.

According to the PSC, Empire District officials failed to demonstrate that an interim rate increase was needed.

“The overwhelming and undisputed evidence presented at the hearing shows that Empire is not now experiencing a financial emergency, or near emergency, and is able to provide safe and adequate service to its customers, regardless of whether or not it receives an interim rate increase,” the commission said in its ruling.

Empire District, which serves roughly 147,900 customers in Greene and 15 other Missouri counties, filed the rate request on July 6, seeking to increase its annual electric revenues by approximately $30.7 million. The $6.2 million interim rate increase request is included in that case. According to the release, Empire District officials have said the company should be able to charge its existing customers more because it spent $27.6 million and lost customers due to the May 2011 EF-5 tornado that hit Joplin.

"We are disappointed the commission did not believe the impact associated with the tornado met the test for interim implementation. The impact remains a part of the primary case we filed on July 6 for $30.7 million," Empire District President and CEO Brad Beecher said in a separate release.

Publicly traded Empire District (NYSE: EDE) reported flat third-quarter earnings of $25.5 million. The company serves approximately  215,000 customers in Missouri, Kansas, Oklahoma and Arkansas, according to Springfield Business Journal archives.

The company's shares were trading at $21.37 as of 11:12 a.m., compared to a 52-week range of $19.51 to $22.04.