The Guadalupe Valley Electric Cooperative is announcing a rate change for four of our nine customer rate classes:
As part of these GVEC rate changes, we will also be combining G-1 and G-2 accounts into a single class (G-1&2).
The Distribution rate (which includes Delivery and Service Availability charges for all four classes) for these customers has been in effect and unchanged since March 2016. In considering these changes, GVEC consulted and contracted an independent third-party organization to conduct Cost of Service and Rate studies. We ultimately concluded that an adjustment is necessary due to increases in overall operating costs for the Cooperative since that time.
Under these GVEC rate changes, the Service Availability charge for G-1&2 members will increase from $20 to $25. The G-1&2 rate class encompasses single-phase service locations such as residential homes, shops, barns, water wells and some small businesses. The current Delivery charge for the G-1 rate class stands at $0.028431/kWh for the first 3000 kWh and $0.018431/kWh after. The Delivery charge for class G-2 is $0.023431. The revised Delivery charge for G-1&2 of $0.023818/kWh represents a decrease for G-1 accounts and a minor increase for G-2s. The Service Availability charge for G-3 accounts will increase from $50 to $62, while the Delivery charge for this class will remain unchanged at $0.006000/kWh. SL accounts pay neither a Service Availability nor a Delivery charge.
In connection with a thorough analysis of open power markets and an associated evaluation of future costs, the Board of Directors will also reduce the Generation and Transmission (G&T) charge for our members receiving electric service under classes G-1&2, G-3 and SL from $0.064 per kWh to $0.059 per kWh. The Board designed this decrease to offset increases to Distribution rates.
With the above adjustments, most members will experience a decrease in monthly bills. For example, average G-1&2 monthly bills (1,500 kWh usage) will be impacted as follows:
These GVEC Rate Changes Will be Effective Beginning with all Bills Dated Nov. 1 and Later: