[Last Updated: 1/4/2012 11:44:04 AM]
For Immediate Release
June 30, 2011
Contact: Ed Rice, Executive Director, Traverse City Light & Power
Office Phone: (231) 932-4559 or E-mail: email@example.com
L&P Approves Capping Increasing Power Cost Charge
(Traverse City, Michigan) — The Traverse City Light & Power (L&P) board approved capping the “Fuel Power Cost Adjustment” or Power Cost Recovery (PCR) for all residential customers at its meeting on June 28.
L&P’s ratepayers have seen a slight increase in their bill over the past several months due to new power purchase contracts, addition of renewable energy as required by Public Act 295 and increased coal transportation costs. The increased costs are passed on to customers through the board-approved PCR that is charged monthly on a per kilowatt hour (kWh) used basis. With the board approval, the PCR will be capped at the January 1, 2011 rate of $0.00681 per kWh.
Customers will see a slight reduction in their PCR charge starting July 1, 2011 and on average will be avoiding an additional $4.24 monthly increase on their bill by years end. The PCR cap will be in place for a period of one year.
“After much discussion and analysis by staff, the Light & Power board approved capping the PCR to help stabilize the rate and lessen the impact of these increases,” said Ed Rice, L&P executive director. “As some other utilities implement double-digit increases, L&P is doing what we can to assist our residential customers through the difficult economic times.”
L&P’s base rates for electricity are not affected by this action and will remain at the same 2006 board-approved level.
In addition to the rate reduction, L&P also offers many residential and commercial energy efficiency incentives that will save all customers energy and money. Most recently L&P gave away over 3,000 compact fluorescent light bulbs through a coupon in June’s bill insert.
See the L&P Energy Smart Program website or latest bill insert for information on additional ways L&P can help you save energy and money.
Traverse City Light & Power (www.tclp.org) is a community-owned, community focused municipal utility that offers reliable energy at competitive rates in the region to over 11,000 customers in Traverse City, and parts of Blair, East Bay, Elmwood, Garfield, Peninsula and Paradise townships.