At a special July 16, 2018 member meeting, Midwest Energy's Board of Directors voted to approve rate changes affecting all electric customers.
The rate changes, the first electric rate case since 2011, will be revenue-neutral for the company. These rate changes are needed to address significant differences between similar customers on the M and W Systems, and simplify rate structures by eventually eliminating summertime inclining block rates for residential and small commercial customers. The new rates will go into effect on Jan. 1, 2019.
The new rates include an increase in the fixed monthly customer charge in nearly all rate classes, which in some cases could be partially or completely offset by lower energy costs per kilowatt-hour. A list of questions and answers regarding the changes, along with charts showing the impacts on various rate classes, is available here.
As part of the rate changes, Midwest Energy is making changes to several of its demand response programs. The company is ending its Pump Curtailment Rider (PCR) and Large Industrial Service Rider (LISR) programs, which offered credits to irrigators and large customers who agreed to be interrupted during periods of high system demand. Additionally, Time and Temperature Rates affecting certain irrigators and large customers are being discontinued, with those customers migrating to Time of Day rates, or another appropriate rate tariff. Termination of both PCR/LISR, and Time and Temperature rates is effective Jan. 1, 2019.
Lastly, the Annual Service rates are being discontinued once automated meters are installed. Annual service rates were popular with low-usage meters on facilities like fence chargers, center pivot drives and tail water pits. Annual Service customers will be migrated to General Service Small, and will begin receiving monthly bills instead of one annual bill.
Customers with questions about the changes should contact Michael Billinger, Midwest Energy’s Manager of Rates and Demand Response, at 1-800-222-3121.