Co-op plans to pass along wholesale power cost savings to member-owners
AHOSKIE, N.C. – Thanks to lower than projected wholesale power costs, Roanoke Electric Cooperative plans to issue credits to its member-owners’ monthly electric bills for the months of March and April.
Beginning this month, the savings will be listed as a “WPCA credit” line item on the monthly billing statements. Member-owners should anticipate $11.25 as a credit for every 1,000 kWh credit. Based on previous years’ usage during this same two-month period, co-op officials project the average savings for residential accounts to be $18.00 each month.
The exact amount, however, will be determined by how much energy is consumed.
In the energy sector, wholesale power costs included in retail rates are based on financial forecasts. The co-op purchases its electricity from power generation companies and sets a price point based on its projections. However, with the volatility of the market, there is no guarantee the actual wholesale power costs will be equal to the estimated costs.
As a not-for-profit, member-owned utility, the co-op is able to pass these savings directly to its membership when actual wholesale power costs are lower than those projected.
The co-op’s ability to pass this credit on to member-owners is further enabled by the co-op’s strong financial performance for 2018.
Co-op officials feel that the timing of these credits will be welcomed due to March, and April electric bills being some of the highest bills within a year’s time.
“Fortunately, with lower than expected wholesale power costs we are in a position to pass on these savings to our member-owners," said Roanoke Electric Chief Operating Officer Marshall Cherry.
Co-op President and CEO Curtis Wynn added, “Electric cooperatives were founded to provide safe and reliable energy to member-owners at the lowest possible cost. While we cannot control price fluctuations in the wholesale power market, we work hard to keep operational costs under control, maximize efficiencies and promote energy-efficiency programs to keep member-owners’ electricity bills as low as possible.
In addition to this recent announcement, co-op officials continue to encourage member-owners to take advantage of the energy-efficiency and cost-savings programs offered by the co-op in order to further lower monthly power bills.
Roanoke Electric Cooperative provides service to 14,500 members in Bertie, Hertford, Halifax, Northampton, Gates, Perquimans and Chowan counties. Chartered in 1938 to provide light and power to farms, the co-op today serves as an engine of economic development and provides educational, recreational and community assistance services to enhance the quality of life of its member-owners throughout the diverse communities it serves. Roanoke Electric Cooperative is an equal opportunity provider and employer.