PEC calls April 4 public hearing on new ratemaking standards and effects on members

The proposal would increase the residential monthly establishment fee from $20 to $35 and the $17 for water wells to $32. And low energy users would be among the "losers" in the proposed new rate structure

Send your comments and news tips to online.editor@valleyspringcomm.net or to Hays County's representative on the PEC Board, Patrick Cox: patrickcox7@gmail.com

Johnson City, Tx –– Pedernales Electric Cooperative invites members to attend a public hearing on PEC’s proposal for implementing the Public Utility Regulatory Policies Act of 1978 (PURPA) ratemaking standards, as amended by the Energy Independence and Security Act of 2007 (EISA).

The hearing will take place at noon, Saturday, April 4, at PEC’s E. Babe Smith Headquarters Building at 201 South Avenue F in Johnson City.

In its proposed determination, PEC is considering four new policies that would put into action modified versions of the four new ratemaking standards relating to integrated energy efficiency resource planning, rate design modifications that promote energy efficiency investments, consideration of smart grid investments and smart grid information.

The Cooperative also must examine how the proposed standards would affect PEC members, and whether the standards would fulfill the purposes set forth by the act.

To view the proposed determination, visit the PEC web site . Members will have an opportunity to comment and ask questions about the proposal at the hearing. If members are unable to attend, they may submit comments on the proposal to Dale Jones at Pedernales Electric Cooperative, Inc., P. O. Box 1, Johnson City, TX, 78636, or by e-mail to purpa@peci.com no later than March 31, 2009.

Driving directions to PEC’s headquarters building also are available through the web site, or by calling 1-888-554-4732.

Basic service increase seen
in proposed new PEC rates

By Jodi Lehman, Horseshoe Bay Beacon
March 18, 2009
For the full story: http://www.blancocountynews.com/news/article/13666

Consultants hired by the Pedernales Electric Cooperative unveiled a proposed new rate design plan at the PEC Board of Directors meeting in Marble Falls on Monday afternoon. David Hedrick, Vice President of C.H. Guernsey & Company said their proposal “balances conflicting concerns” and like any change in business philosophy, it will “create winners and losers.”

Hedrick and two other Guernsey representatives explained the major changes contained in the report. They propose increasing members’ monthly establishment fee charge and eliminating the “one size fits all” line extension charge.

The consultants suggest increasing the current monthly establishment fee of $20 for residences to $35, and the $17 for water wells to $32, along with a lowering of the rates charged for energy use. They calculate that the bill for residences using 1,271 kWh per month will decrease by a dollar a month under the proposed system.

The “losers” under this plan will be residences that use 1,000 kWh or less per month. Monthly bills would increase approximately $2.50 for 1,000 kWh users and $14 for 50 kWh users. The “winners” would be residences that consume more energy. Guernsey calculates that residences using 5,000 kWh per month will realize a monthly saving of $47 if the PEC adopts the concept of raising the monthly establishment fee from $20 to $35 and lowering energy charges.