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Clallam PUD approves rate increase
Clallam County PUD #1 (PUD) commissioners voted to approve a staff recommended 3.5 percent increase in retail electric utility rates which amounts to an increase of approximately $3.35 per month for the average PUD residential customer, using 1,200 kWh per month.
The approved retail rate increase will be effective on all bills rendered on or after July 1, which includes all usage since the customer’s prior bill.
The 2014 PUD budget, approved in December 2013, was predicated on a mid-year rate increase of 3.5 percent.
In October 2013 the Bonneville Power Administration (BPA) increased rates by approximately 9.5 percent. This represents the largest cost center for the PUD at about 45 percent of the total budget. Staff and commissioners decided to divide extension of this rate impact over the course of two years instead of just one, which keeps with the philosophy of providing stable rates.
In addition to the BPA wholesale rate increase there are continued rate pressures from rising costs associated with materials cost, operations, maintenance and technology. Renewable energy mandates and conservation mandates, such as those from the Washington Energy Independence Act (formerly known as Initiative 937), also will play a larger role in the future.
For more information about the PUD, visit www.clallampud.net.