Board Approves Rate Increase for 2023, Strategy Deployed to Keep Increase Minimal
Most Residential Accounts to see $2/month Increase
At its November meeting, the San Miguel Power Association (SMPA) Board of Directors elected to implement a two dollar increase to the SMPA electric access charge with no change to the kWh energy rate for all electric accounts, including all rate classes and lighting tariffs. For most residential consumers, the increase will amount to $2 per month on the access charge, or $24 per year above the current charge.
Chief Executive Officer, Brad Zaporski summarized the 2023 rate increase by saying, “I am proud of the SMPA staff’s efforts in cost containment, as well as our Board’s multi-year financial strategy of using deferred revenue to keep this rate increase to a fraction of the rate of inflation.”
Before the board voted, they heard from members who wished to comment on the proposal. Once all comments had been made, the board continued with its meeting, and unanimously approved the recommended $2 increase. With this action, SMPA has kept the increase to 1.1% despite inflationary cost pressures through careful financial planning, deferred revenue, and delayed major capital projects.
For reference, a comparison of the current rates and the approved increase are available on www.smpa.com/rates. The new rate will go into effect January, 2023.