In a recent government meeting, officials discussed significant changes to the electric and water rates, proposing a comprehensive restructuring aimed at addressing capacity-related costs and ensuring equitable revenue generation across various customer classes.

The proposed changes include a phased increase in electric rates, projected to rise by approximately 60% over five phases. The first phase would see a 15% overall increase in electric revenues, with residential customers facing an 18.75% hike, while churches and schools would see an 8% increase. Subsequent phases would introduce smaller increases of 7.5%, 7.37%, and 10% in the following years.

Officials highlighted the need for a demand charge for residential customers, which could be based on average demand metrics. Currently, residential rates do not include a demand charge, unlike industrial rates, which do. The analysis suggests that establishing a demand rate could help recover costs more effectively.

The meeting also addressed the structure of existing rate classes, confirming that no significant changes would be made aside from integrating a temporary total electric consumer rate into the standard residential rate. Officials noted that the current classifications are typical of utility providers, defined primarily by load size rather than consumption.

As the discussions progressed, the focus remained on ensuring that the proposed rate changes align with the cost of service, providing a guide for future adjustments while maintaining fairness across different customer segments. The adjustments aim to balance the financial needs of the utility with the economic realities faced by consumers.