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FOR IMMEDIATE RELEASE

 June 6, 2022

 Contact: 

Sarah Juzek

Controller

Stowe Electric Department

This email address is being protected from spambots. You need JavaScript enabled to view it.

802.253.7215

Stowe Electric Requests Rate Increase

Just the Second Rate Increase in Over a Decade

Rates Will Increase 13% Starting on August 1st

 

Stowe, Vt – On June 15th, 2022, Stowe Electric Department will file a request with the Public Utility Commission (“PUC”) to approve a rate increase of 13%. The increase will take effect August 1 and will be subject to approval by the PUC.  If the PUC ultimately approves a lesser increase, SED will refund the difference to each customer. This is only the second time Stowe Electric has asked the PUC to approve a rate increase since 2011. In 2014 Stowe Electric had a rate reduction of 3.5% and refunded more than $300,000 to the customers. The requested increase will ensure that the utility can continue to provide reliable service despite considerable financial pressure from the increases in energy and transmission costs, inflation, and goods and services since the pandemic.

For over a decade, Stowe’s rates have escalated at well below the rate of inflation. The Bureau of Labor Statistics measures the average annual Consumer Price Index (CPI) which increased at an average of 2.44% per year since 2010. Stowe has had two rate increases and a rate reduction since 2010 which means that Stowe’s rates have increased on average by only 0.7% per year.

One of the largest expenses of an electric utility is the cost of Purchase Power which comprises approximately 70% of the projected 2022 operating expenses. Cost per MWh more than doubled this winter from $56/MWh in 2021 to $126/MWh in 2022.

Stowe Electric remains committed to providing dependable electric service. We strive to find the most cost-effective means to provide decarbonized energy generation sources to meet the growing demand of the customers. However, the historic increases in natural gas and energy costs have caused significant increases in Purchase Power costs this past year necessitating our request for a 13% increase.

 “The Commissioners and I worked diligently during the pandemic to avoid raising rates during a crisis. Unfortunately, we cannot put the inevitable off any longer,” says Ellen Burt, General Manager. “As a not-for-profit governmental entity, electricity is provided as a cost of service which is only recovered through its rates. When CPI has increased by over 2% annually and the cost of power has steadily increased for years, 34% in just the past year alone, there must be an increase in the rates”, explained Ellen Burt.

Stowe Electric understands that consumer prices have increased across all sectors of the economy and offers rebates for energy efficiency projects that can help reduce your monthly heating fuel, gasoline, and electricity expenses. The following rebates are available for 2022:

Measure

Incentive

Cold Climate Heat Pump

 $     250.00

Wood/Pellet Stove

 $     150.00

New All-Electric Vehicle (AEV) Under $40,000

 $  1,000.00

New All-Electric Vehicle (AEV) Over $40,000

$      750.00

New Plug-in Hybrid Electric Vehicle (PHEV)

 $     750.00

New AEV – Low Income

 $  1,250.00

New PHEV – Low Income

 $  1,000.00

Used AEV

 $     300.00

Used PHEV

 $     300.00

Public/Workplace EV Charging Equipment

 $     500.00

Residential Electric Lawnmower

 $       75.00

Residential Electric Lawn Care Products (i.e. trimmers, leaf blowers)

$         25.00

Commercial Electric Riding Lawnmower

 $   1,250.00

Commercial Electric Lawn Care Products (i.e. trimmers, leaf blowers)

$         75.00

E-Bike

$       200.00

Customers can find out more about these opportunities and access the forms on our website www.StoweElectric.com.

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Stowe Electric Department has provided reliable electricity and superior service to the community of Stowe since 1911.  Today, Stowe Electric Department serves over 4,400 Residential and Commercial customers.  Along with a commitment to supplying its ratepayers with clean, reliable energy at an affordable price, Stowe Electric Department continues to build upon its history of outstanding customer service and support.

The mission of Stowe Electric Department, a progressive municipal electric utility, is to provide its customers with dedicated, professional service in the most cost effective manner.

 

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