These past few years we have seen unlikely and unpredictable outcomes associated with the cost of market power, the disruption of power supply, and the increased interest rates and prices of materials. This has not only affected the utility industry but affected costs to us all in every aspect of our lives.
In 2020, we were able to decrease our overall rates by 1.5%, and in 2021 and additional 2% decrease, for a total of a 3.5% rate decrease. To date, rates have not been changed since, but instead we have absorbed these additional costs and added what we could not into the Power Cost Adjustment (PCA) on your monthly bill. Year-end numbers showed us that our costs were up 10% and revenue was down 5%.
To date this calendar year, we have already implemented a 4.7% increase through the PCA. Rates will be restructured to recapture an additional 4.4% across the remainder of the year. We are anticipating the residential rates to have increased 9.1% by year end. Rate changes will take effect March usage/April billing.
As previously discussed, new rate changes don’t just include differing costs, but further unbundling of the bill. To read more about this in detail, and view new (and old) rate schedules, visit here.
