MP electric rates will increase next month

MT. PLEASANT — Effective July 1, Mt. Pleasant Municipal Utilities customers will see an increase in their electrical rates.

According to the Mt. Pleasant Municipal Utilities this increase comes as a result of “continual increase of operational expenses …” to ensure revenues adequately cover ongoing operational expenses.

“The revision contains elimination of rate tiers, increase in base fee charges, and adjustments to the cost per [kilowatt],” The Municipal Utilities also stated.

The residential base fee will continue to include assessments of meters at $1 per day, though the maximum accumulation per month will increase from $13 to $16.

Since Jan. 1, 2016, rates consisted of $0.12 per kilowatt for the first 500 kilowatts, then $0.095 per kilowatt over 500. With the elimination of the rate tiers, Residential electric fees will now cost $0.1125 per Kilowatt for all kilowatts used.

One-meter electric heat service also will experience a shift as the former rate tiers become a thing of the past.

Instead of paying $0.12 for the first 500 kilowatts, $0.095 for the next 700 kilowatts, and $0.085 for kilowatt usage over 1200, customers will pay $0.1125 for all kilowatts.

Heat meter only energy rates for two-meter services will increase from $0.085 per kilowatt to $0.1125.

Commercial customers also will experience the rate increase.

Non-demand small commercial meters daily assessed rates will increase from $1 per day with maximum accumulation of $25 to $1.25 per day with maximum accumulation of $35.

Non-demand large commercial meter rates will increase from $2 to $2.75 per day with maximum increasing from $50 to $75.

Per kilowatt rates will no longer include the largest tier rate decreases for small and large commercial customers. Large commercial customers will see an increase in their second-tier combined rates from $0.095 per kilowatt for use over 5000 kilowatts to $0.105 for usage over 6000 kilowatts.

Commercial demand rates, which were last increased May 1, 2021, will increase from $14.10907 per power of kilowatt to $16.70041 and energy consumption rates will increase from $0.065 to $0.075.

Industrial demand rates, which were also last increased May 1, 2021, will increase from $14.10907 per power of kilowatt to $16.70041 and energy consumption rates will increase from $0.0484 to $0.075.

According to the Mt. Pleasant Municipal Utilities rate card, the term demand is defined as “ … the sum of the highest integrated kW demand during any 15 consecutive minute period occurring in the billing month, but not less than 50% of the highest 15 consecutive minute integrated kW demand which has occurred in the preceding 11 months, whichever is greater.”

The rate card also states, “Demand Rates for Commercial Demand (DM — 031) and Industrial Demand (ID — 033) are subject to annual review and adjustment by the MPMU Board of Trustees. The last such adjustment, was approved at the April 2023 Board of Trustees meeting with rates effective for billings after 7-1-2023.”

Security light rates will remain the same.

Comments: AnnaMarie.Ward@southeastiowaunion.com