Application of Northern States Power Co.

HENDERSON, Justice.

ACTION

Northern States Power Company (NSP) applied to the South Dakota Public Utilities Commission (PUC) for an increase in electric rates to cover NSP’s projected losses related to the Tyrone nuclear power project. The PUC decided to defer ruling on NSP’s application until the Federal Energy Regulatory Commission (FERC) decided what NSP’s losses were.

NSP appealed to the circuit court, wherein the PUC’s decision was reversed as being beyond the PUC’s statutory authority. This appeal ensued.

On the federal level, FERC has approved the losses claimed by NSP; however, the PUC…