Rate Adjustment Notices on the way

Rate adjustment notices on the way In light of rising costs, Adams Electric members are facing a rate adjustment beginning with the bills they receive in November 2009. For the average residential members using 1,280 kilowatt-hours of electricity per month, a $9 bill increase can be expected, as the per kilowatt-hour (kwh) energy supply charge is adjusted from $.057 to $.061 per kwh.

Most of the increase will be reflected in the “Energy Supply” portion of each member’s bill. The final amount will depend on each member’s use of electricity and his or her assigned rate class. The rate increase will average 7.4 percent and will affect all residential rate classes and most business rate classes.

In addition, the monthly access charge for residential accounts will be adjusted from $21.75 to $25.75 beginning with bills received in November. This adjustment is included in the 7.4 percent average bill increase and is being applied to help offset the cost of maintaining the poles and equipment used to deliver power.

“Considering that most electric utilities are seeking rate increases between 30 and 100 percent, Adams Electric’s 2009 rate change is far below those levels,” says Steve Rasmussen, CEO/general manager. “Members will receive a bill insert from the co-op in September further explaining these rate adjustments.”

Seasonal energy supply charges

In 2008, Adams Electric introduced a summer energy charge under the “Energy Supply” section of the bills for the months of June through September to recover the higher overall cost of generating power during those months. Instead of levying a rate increase for the entire year, the co-op chose to recover those higher costs during the months when they occur.

The amount of the charge — based upon each member’s per kilowatt- hour use ($.022 per kwh)— remains unchanged, and it will continue to be included on future bills.

Ways to offset rising electric costs

On the bright side, the coop will continue to offer members special rate incentives and options to help keep costs low.

One such option is the controlled load rate through which members can move some of their electric use to off-peak hours. The off-peak program controls electric thermal storage (ETS) units and other appliances (baseboard electric heat, pool pumps, dryers, dehumidifiers, etc.) connected to a separately metered sub panel.

Power to those units is controlled when the demand for power peaks, reducing power costs. Those demand savings are passed directly back to the member in the form of a lower rate. The new rate is $.051 per kwh for all power passing through the sub panel. Members who can defer at least 70 percent of the home’s total electric use to off-peak times (7 p.m. to 7 a.m.) may benefit from a special time-of-day meter that tracks not only electric use, but also the time when it is being used. During off-peak hours year-round, the rate will be $.058 cents per kwh. The summer on-peak rate (from 7 a.m. to 7 p.m.) will be $.171 per kwh. The non-summer on-peak rate will be $.109 per kwh.

Another option for members with an electric water heater is to allow the co-op to connect — at no charge to them — a load control switch to it. Members with load control switches on their water heaters will continue to automatically receive a $5 credit each month on their electric bill, if the water heater is not already on the controlled load rate.

If you do not have a switch on your electric water heater — a $155 value— Adams Electric will give you a $50 bill credit for allowing a switch to be installed, plus you’ll receive the $5 monthly credit.

Need to replace your water heater? Adams Electric will provide a rebate up to $100 for your new electric water heater when you allow a load control switch to be placed on it.

Considering upgrading your heating and cooling system? Combine an air-source heat pump with an electric thermal storage unit connected to a separately metered subpanel on the controlled load rate.

The heat pump portion of the bill would be at the new rate of $.099 per kwh in the summer and $.077 per kwh in the non-summer months. The electric thermal storage unit, connected to the separate subpanel, is at the new controlled load rate of $.051 per kwh.

In addition, conventional ground-source or water-source heat pumps have high efficiencies. They provide steadier electric loads to the cooperative and use less electricity than electric resistance heating.

For more information, call toll-free, 1-888-232-6732.

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