The calculated fixed cost of providing access to the electrical grid and other expenses related to delivering electricity is $37.10 per member each month. These costs per member are fixed, or do not change, regardless of how many kilowatt-hours (kWh) a member uses.
Currently, the Access Charge for a residential service is $10, which is far less than the actual cost of more than $37. Under the proposed rates, REC will recover $20 through the Access Charge, or a little more than half of the actual cost. This change will help bring our charges more in line with our costs, and also help ensure that costs are more fairly paid by those who create the expense.
Even with these changes, the typical residential member using 1,000 kWh per month will see a total bill that will be about the same as it was at the end of 2015. This is due to reductions in wholesale power costs that have occurred in the past year and a half, as well as the effect of the proposed seasonal rates.