On the heels of a December rate reduction, Pedernales Electric Cooperative is now seeking feedback from its members on the Co-op’s rates and fees as part of a comprehensive cost-of-service and rate design study.
Co-op members are invited to share their views by taking a survey at www.pec.coop/survey beginning Jan. 28 through Feb. 28, or by coming to a member forum at PEC’s offices in: Cedar Park (Feb. 4), Junction (Feb. 11), Kyle (February 18) and at PEC headquarters in Johnson City (Feb. 25). The forum in Johnson City will also be streamed live online at www.pec.coop. PEC will be mailing survey and forum information to its entire membership, as well as communicating the information through email, social media and other efforts.
Engaging members and stakeholders on key issues is a practice PEC firmly believes in. “PEC is owned by its members, and their input is an essential part of the study,” said PEC CEO John D. Hewa. “This feedback will help us develop rates and innovative options that utilize advances in technology and help PEC better meet the current and future energy needs of its membership.”
PEC is working with independent consultant Burns & McDonnell to complete the cost-of-service and rate design study, which will be used to help the Co-op outline a draft rate structure with different rates, fees and options. PEC will consider the feedback as it builds a draft rate structure with updated rates and fees. The Co-op then will ask members to review the proposed rate structure options and provide additional feedback before a finalized rate structure, designed with substantial input from PEC members and stakeholders, is implemented.
Members may also complete a printed version of the survey by downloading and printing it from www.pec.coop/survey, by requesting a copy from PEC at 1-888-554-4732 or by visiting one of the Co-op’s offices. Completed paper surveys should be mailed to Chris Deffenbaugh at Burns & McDonnell, Westec 360, 8911 North Capital of Texas Highway, Suite 4260, Austin, Texas 78759.
To ensure input is received from a diverse group of Co-op members and stakeholders from different geographic areas, PEC is seeking feedback through a variety of methods, including the online survey, one-on-one interviews and member forums. Burns & McDonnell plans to present the member feedback it receives to the PEC Board of Directors in March.
The Co-op will be exploring several different types of rate options, including time-of-use rates, prepaid rates, economic development rates, renewable energy rates and rates to encourage conservation. The Co-op will also be reviewing its line extension policy and fees, as well as the rates, fees and buy-back rates offered to members who own small-generation equipment like solar panels and wind turbines. In December, PEC did increase the buy-back rate nearly 70 percent for members generating surplus electricity.
“We want our rates to allow us to continue offering programs that help members save money, conserve energy and utilize energy sources that benefit our communities,” Hewa said.
Periodic cost-of-service studies are used by utilities to evaluate factors driving costs and revenues, avoid drastic rate fluctuations, eliminate or reduce subsidies and provide reference points for setting goals and rates. This industry-standard study aids PEC as it moves forward with designing updated rate options while meeting expectations from a diverse group of members and stakeholders, complying with regulations and meeting financial and strategic goals. The Co-op began its last cost-of-service and rate design study in 2008.
Hewa stressed that the study doesn’t mean the Co-op’s rates are going up. “In fact, certain rates could even decrease. The purpose of the study is not to raise rates, but rather to update our rate structure to help us better provide our members with the electricity options and services they need.”
More information about the Co-op’s cost-of-service and rate design study, links to the survey, a member forum agenda and an online forum is available at www.pec.coop/survey.
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