Who does the rate change affect?
The rate change affects all rate classes for Upshur Rural members to some degree.
What is changing with the new rates?
The main change with the new rates is an increase in the monthly consumer charge.
Over a three year period, the average Residential and Small Commercial bill will see a total increase of $5.00 per month to its consumer charge. We are rebasing the Power Cost Recovery Factor (PCRF) to zero. We are also eliminating the Peak Month Energy Adjustment (PMEA) charge to help simplify our rate structure.
Commercial-Industrial accounts will see an increase of $12.50 per month in their monthly consumer charge and an increase of $1.00 per kW for the demand charge.
The monthly consumer charge is not changing for Large Power-Industrial accounts. However, the demand charge will increase $3.59 per kW on Large Power-Industrial accounts
All security and street lighting accounts will also see increases in the monthly charge.
When is the rate change taking place?
The rate change is taking place is three phases.
Residential and Small Commercial accounts will see an increase in their monthly consumer charge beginning June 1, 2017. On June 1, 2018, the second phase of increase will occur for the monthly consumer charge on Residential and Small Commercial accounts. On June 1, 2019, the third and final phase of increase will occur for the monthly consumer charge on Residential and Small Commercial accounts.
Commercial-Industrial accounts will see an increase in their monthly consumer charge and demand charge beginning June 1, 2017.
Large Power-Industrial accounts will see an increase in their demand charge beginning June 1, 2017.
How will the rate change appear on my bill?
For bills rendered beginning June 1, 2017, the increases outlined in number 2 shown above, will automatically appear on the bill.
Why is urecc implementing a rate change?
In 2016, the URECC Board requested that a Cost of Service and Rate Study be conducted. The purpose of the study was to identify costs of providing electric service to each of the Cooperative’s rate classes. The goal of the study was to assess the Cooperative’s financial performance, to ensure that the cost of providing electric service is shared fairly with each member-owner and rate class, to ensure its financial management is in order and to ensure that rates are impartially applied and shared fairly. This study was keenly important since URECC's base rate has not been modified in approximately 17 years. The results of the Cost of Service and Rate Study indicated that an increase in rates is needed. The revenue this generates over our entire system will enable us to build a new substation, increase transmission line reliability and do many other maintenance related things to provide members with consistent electric service and increased reliability.