While all of us struggle to pay bills, higher gas prices, and higher Avista bills in this struggling economy, Avista Utilities seems to be enjoying itself. The company today reported its 2nd quarter profit for this year is 69% higher than last, and its yearly profit this year so far is 72% higher than last.
All of this, while Avista is warning customers its going to ask for another natural gas rate hike later this year. Avista says it has to ask for the hike, to pass its costs onto customers. (Avista claims in its news release its net profit was primarily due to a rate increase it got approved at the beginning of this year)
Avista says another reason for the increase this year compared with last is because Avista delt with a net loss from Avista Energy last year. The company also claims its profits could have been higher, saying it has absorbed $7,400,000 in costs so far this year.
The question is, how can Avista with a straight-face, ask for a huge natural gas increase (which it plans to do this fall), when its obviously not limping along. Don’t get me wrong, I want companies to be successful and earn a profit. But when you’re talking about nearly doubling your year-to-year profits, that’s where I draw the line. I don’t want to take money from Avista, but I also don’t want the company telling me it needs more money, when in reality, it doesn’t.
What do you think?
Popularity: 1% [?]