December PEC bills to reflect lower power cost

FOR IMMEDIATE RELEASE

November 16, 2009
TO: All PEC-area newspapers
MEDIA CONTACT: Anne Harvey, (830) 868-4933; Austin line, (512) 219-2602

Pedernales Electric members will pay a reduced rate for electricity beginning with bills rendered on or after Dec. 1. The Cooperative is reducing the total cost of power by $0.002 per kilowatt-hour 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.

The average residential member’s monthly bill will be reduced by about $2 with the revised power cost adjustment rate.

“The reduced power cost rate reflects our objective to provide service to members at the lowest possible rate,” said PEC General Manager Juan Garza. “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 Aug. 1, separated PEC’s purchased power costs from its cost of providing service. This type of 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.

PEC Board President Larry Landaker emphasized the flexibility the rates structure provides. “The new rates structure enhances our ability to adjust to the market and pass on savings more directly to our membership. This helps us adhere to our duty to operate the Cooperative in a fiscally sound manner while not overlooking our responsibility to the membership.”

More information about PEC’s rates is available at www.pec.coop/About/Rates.aspx.