(Spencer)– Electric customers of Spencer Municipal Utilities will see an increase in their bills over the next couple of months.
The SMU Board of Trustees approved the increase during their monthly meeting Wednesday.
SMU Information Director Curtis Dean says rates will be increased by about 10 percent for all rate classes. He says the impact for the average SMU residential customer will result in an additional nine to ten dollars a month.
Dean says the board has been looking at what’s needed in revenue for the upcoming year in order to maintain financial stability. He says there have been several factors outside of their control that are driving costs, such as the cost of purchasing power. SMU is one of many utilities involved in the construction of a new generating station near Council Bluffs. Dean says some of the increase is needed to meet SMU’s commitment with that project.
Dean adds SMU electric customers will see another change on their bill as well. A meter charge of $9.75 a month for residential and slightly larger for commercial customers is being added to the monthly bills. Dean says that revenue will cover the cost of providing meters, billing, and customer service and support service.
SMU customers will also pay a per-kilowatt-hour charge for energy usage in 2005. Dean says ironically, the per-kilowatt-hour charge may be lower for some customers.
The rate increase goes in effect with consumption beginning March 1st.
(Story from Danielle Hitchings of sister station KDWD Hot 100 in Spencer.).
Copyright GCI. All rights reserved.
