MSG Las Vegas Receives Approval To Take Competitive Supply In Nevada, No Exit Fee For New Load

The Nevada PUC approved the application of MSG Las Vegas, LLC to take competitive electric supply for its new Las Vegas Sphere event venue, an 18,000-person arena being developed in the Nevada Power Company (NV Energy, NPC) service area

MSG's application to take competitive supply had been first reported by EnergyChoiceMatters.com

MSG Las Vegas had said that the LV Sphere will have an annual load of approximately 95,779 MWh.

Consistent with its prior order concerning the application of the Raiders to take competitive supply for new customer load (see story here), the PUC ruled that MSG Las Vegas will not have to pay an exit fee (setting the impact fee at $0)

Also consistent with precedent, MSG will have to pay certain nonbypassable riders, such as the economic development rate, and various taxes

Also consistent with precedent, the PUC did not address whether MSG shall be assessed costs related to the retirement and clean-up of NPC's Reid Gardner and Navajo coal fired generating units, as the issue of cost recovery for such costs, and impact on competitive supply customers, is reserved to a general rate case.

Per a draft order that was before the PUC, MSG had not yet selected a competitive electric provider, but said during a hearing it could potentially negotiate an agreement with Tenaska Power Services