Question-and-Answer Session
[Operator Instructions]. Your first question comes from the line of Micheal Lapides with Goldman Sachs. Please proceed.
Michael Lapides - Goldman Sachs
Hey Jimmy, congratulations on a good quarter and a great year for the company. Want to just touch on rate case timing. I want to make sure I got everything down that you mentioned in the call. So, SCE&G had its case in 07 that goes into effect in '08. When do you think you would file the next case for SCE&G. That's kind of the first question. Then on PSNC; your filling in 08, does that case go into effect by first quarter 2009?
Jimmy Addison - Senior Vice President and Chief Financial Officer
Sure. Michael, thanks for your compliments there. On SCE&G's electric case, it goes into effect January 1 of this year. We've typically been on a two to three-year cycle and I don't see any real need for that to change as far as base rates here. So, I would expect something to fall within that range of two to three years. Obviously that's all needs to be considered within the context of what we do with new generation and how that coordinates with the Base Load Review Act fillings and we will try to coordinate those that make sense for our customers, for the commission, for shareholders et cetera. So, we will try to consider that in addition to it.
At SCE&G gas, you didn't specifically ask for hourly based SCE&G. Recall, we have the Right Stabilization Act that essentially takes a snapshot each year after the winter heating season at the end of March, and takes a new snapshot of your rate base comparison to your earnings during the year and makes any necessary adjustments to bring us back to our allowed ROE of 10.25, if we are outside that range from more than 50 basis points. And with the growth we have here in the South, we are typically seeing that each year since the procedure was in enacted a few years ago.
There is a smaller increase from that each year that's effective November 1 in the beginning of the heating season. Finally, at PSNC, we would expect to file the case about the end of the first quarter here this year and in accordance with the statute, we would have it effective before the begin of the heating season this fall in November 1.
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