NV Energy has proposed issuing a total of $63 million in refunds to customers it accidentally overcharged.

In a settlement proposal filed Monday with state energy regulators, the utility stated it believes that “these terms will make affected active customers whole and provide meaningful safeguards to ensure that similar misclassification issues will not occur again” while also doubling down that it “regrets the errors.”

Previous filings by the company indicate it overcharged customers by roughly $65 million. 

If state energy regulators approve the move, current customers will receive refunds as bill credits within 210 days. Noncurrent customers will receive a check sent to their last known address on file.

The Public Utilities Commission of Nevada (PUCN) will host a workshop Jan. 21 to discuss the issue. 

The offer is a potential resolution to a debacle for the company that accidentally overcharged tens of thousands of customers due to billing errors dating back more than two decades. Those errors led to the misclassification of thousands of multifamily residential customers being billed as single-family residential customers.

The misclassification occurred in two ways, according to the utility.

When the company introduced a multifamily rate in 2002, not all households were included. Other misclassifications occurred when a residence or multifamily complex was added to the utility’s system.

State energy regulators learned of the misclassification through consumer complaints. According to regulators, the utility did not voluntarily disclose its decades-long misclassifications, and NV Energy tapped into an incorrect rule to guide its refunds that ultimately led to the company issuing only six months’ worth of refunds to a limited subset of customers.

The utility issued refunds in the form of six-month credits or check refunds totaling $1.83 million in December 2024; in May 2025, the company issued an additional $3.56 million in refunds, but paused any additional refunds once the PUCN launched an informal investigation into the issue.

Since then, much of the debate has centered around how far back the utility should issue refunds for.

Although the overcharges go back more than two decades, the utility says it only has billing records dating back to 2017, and in September, the utility proposed to issue additional refunds, with interest, to affected customers retroactive to June 2017.

Earlier this month, the company doubled down on its push to only issue refunds back to 2017, telling state energy regulators that issuing refunds back that far was “fair and reasonable.”

If the terms of the settlement are agreed to, the company will use estimated amounts owed to issue refunds back to 2002, and an additional $57.3 million, including interest, will be refunded to customers.

The utility, which is working with an external firm to independently review and validate its findings, said in its filing that the “vast majority” of misclassifications have been corrected.

The utility has “dedicated significant time and resources to identifying the scope of the misclassifications, evaluating all available information, ensuring that the misclassified premises are corrected, and developing and implementing new processes and controls to prevent similar errors in the future,” it wrote in its settlement proposal.