Pedernales Electric Cooperative (PEC) members will pay a reduced rate for electricity beginning with bills issued on or after Dec. 1.
PEC is reducing the total cost of power by $0.002 per kilowatt-hour (kwh) for the majority of its members, including all residential members. A reduction of $0.00196 per kwh will be passed through to PEC’s primary service (commercial and industrial) members.
“I’m not aware of too many electric utilities these days that are doing any type of reduction, so this is very significant,” PEC District 7 Director Patrick Cox said.
The average residential member’s monthly bill will be reduced by about $2 with the revised power cost adjustment rate.
PEC provides electricity for all Hays County residents, except for those within the San Marcos city limits.
“The reduced power cost rate reflects our objective to provide service to members at the lowest possible rate,” PEC General Manager Juan Garza said. “Every little bit of savings counts, especially considering the economic situation over the past couple of years.”
PEC uses both actual and forecasted figures to chart collections from members, with a goal of staying within one percent of its annual forecasted power cost. The cooperative’s revised rates structure, which went into effect on Aug. 1, separated PEC’s purchased power costs from its cost of providing service.
The new rates structure gives PEC the ability to adjust rates to better reflect the actual cost of power, as indicated by the reduced power cost adjustment rate.
“The new rates structure enhances our ability to adjust to the market and pass on savings more directly to our membership,” PEC Board President Larry Landaker said. “This helps us adhere to our duty to operate the cooperative in a fiscally sound manner while not overlooking our responsibility to the membership.”
Also at this week’s board meeting, the cooperative approved a detailed debt collection plan in an effort to reduce the nearly $3 million lost each year due to delinquency and uncollectible debt.Email | Print