05/11/07 Regulatory Commission approves HEA rate increase.

The Regulatory Commission of Alaska (RCA) has approved a 4.59 percent increase to Homer Electric Association’s base rate.  The increase will raise the rate by approximately a half cent per kilowatt hour, from 12 cents to 12.6 cents.

The new rate, which went into effect on May 7, will result in an increase of approximately $3.32 a month for the average HEA residential member using 600 kilowatt hour per month.

The rate increase is needed to cover increasing costs associated with work that Homer Electric is involved in. 

“While Homer Electric has strived to keep rates as low as possible, a small increase is necessary to keep pace with the rising costs of materials needed to maintain and operate electric facilities. HEA will continue to work on projects designed to stabilize rates charged to its members,” General Manager Brad Janorschke said.

Over the past ten years, Homer Electric’s base rate has increased from 8.8 cents in 1997 to 12.6 cents today. During this same time period, the cost of other types of energy sources such as oil, natural gas, and gasoline has more than doubled.

If you have any questions, please call:
Joe Gallagher, Public Relations Coordinator -  (907) -283-2324