new look to energy bills
January 11, 2017

New rate structure leads to slightly new look to energy bills

The new rate structure that was implemented December 1, 2016 includes On Peak and Off Peak periods.  These means energy used between 4 p.m. and 9 p.m. each day is billed at 16¢ per kWh and energy used during the other 19 hours of the day (from 9 p.m. to 4 p.m.) is billed at 8.3¢ per kWh.  The new look to the energy bills that were mailed this month includes two readings: one for energy used during the On Peak period and one for energy used during the Off Peak period.  That is shown on the left side of the bill.  On the right side of the bill, the two kWh totals, for On Peak and Off Peak usage, are shown along with the rate to give the total amount owed.

Another change is the Facility Charge which was increased from $19.75 to $36.50.  Under the previous rate structure, the Facility Charge of $19.75 did not cover all of the fixed costs.  A portion of these were recovered through the premium charged for the first 250 kWh of energy used each month which were billed at 15.73¢ per kWh.  All energy after that was billed at 9.72¢ per kWh.  This meant that $15.03 of the fixed costs were recovered through the first block of power making the actual Facility Charge $34.78.  Under the new rate structure, there is no premium charged for the first block of power and all of the fixed costs are recovered through the Facility Charge which was increased by $1.72.