INCREASE IN FUEL COSTS LEADS TO CHUGACH ELECTRIC RATE HIKE

Anchorage, AK - Chugach Electric Association’s retail and wholesale customers will see an increase on their electric bills between January 1 and March 31, 2009.   On November 18, 2008, Chugach Electric filed a tariff advice filing ( TA298-8), which reflects the first quarter rate increases in Cost of Power Adjustment (COPA).  The current proposed rates are:

COPA For:
Current (per kWh)
Proposed (per kWh)
CEA (Retail)
$0.06604
$0.09088
HEA (Wholesale)
$0.06351
$0.08936
MEA (Wholesale).
$0.06035
$0.08814
Non-Firm Power Rate
$0.05843
$0.07895

Chugach Electric estimates that a residential customer using 700 kWh per month will see a 17% increase, or a change from $102.42 to $119.80. 

With COPA filings, the commission’s authority to change the proposed adjustment is generally limited to reviewing the methodology and cost elements employed by the utility, or correcting errors in calculations.  The COPA mechanism under 3 AAC 52.503, Adjustment Clauses for Electric Utilities, allows electric utilities to pass a change in their fuel costs to their customers each time the fuel costs change.  If the utility experiences fuel cost decreases, the utility is required to decrease the COPA rate.  A copy of Chugach Electric's COPA filing may be downloaded from this link: TA298-8.  

The commission urges consumers to use energy wisely and more efficiently.  The RCA website's "For Consumers" tab contains consumer facts about energy savings and available assistance programs.   


Date Issued: 11/24/2008