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Noranda asks Missouri PSC to reduce electric rate

Published on NewsOK Modified: February 14, 2014 at 10:06 am •  Published: February 14, 2014

JEFFERSON CITY, Mo. (AP) — Missouri's largest consumer of electricity is asking the Missouri Public Service Commission to cut its electric rate, saying Ameren Missouri is overcharging customers.

Noranda Aluminum Holding Corp. filed the request Thursday, seeking about a 25 percent reduction in the electric rate Ameren charges at Noranda's aluminum smelter in New Madrid in southeastern Missouri.

"In order to be sustainable in today's aluminum price environment, it is essential for New Madrid to have competitive power rates," Layle K. "Kip" Smith, Noranda's chief executive officer and president, said in a statement.

If approved, rates for other Ameren Missouri customers could rise. Noranda said its request would be expected to increase other consumers' rates by 1.8 percent or less.

Warren Wood, Ameren Missouri's vice president of legislative and regulatory affairs, disagreed. He told the St. Louis Post-Dispatch that the change would raise rates for other consumers by more than 2 percent and accused Noranda of, in effect, seeking to pass on the cost of its rate cut to other Ameren customers.

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