As we enter the last month of the year, Clay Electric Co-operative wants to wish you and yours all the best this holiday season. We hope you enjoy a merry Christmas and a happy New Year.
2022 has been a rough year economically for all sectors of business. Every American has experienced cost increases in every facet of modern life. The groceries on the shelves, the gas we burn to drive to the store, the steel they use to build the car — everything is more expensive as we see inflation climb. These market forces have increased costs in the power sector as well. There have been many stories in the news about the volatile power markets, rate increases at investor-owned utilities, and fears of power shortages leading to power interruptions. As a member of Clay Electric Co-operative, you have been insulated from these issues. To date, our members have not seen any rate increases. Just last year, our members received credits on their bill due to the cooperative’s ability to find cheap power to deliver to our members. For the last several years we have been able to make a power cost adjustment to benefit the membership at the end of the year.
When Clay Electric Co-operative purchases power from our power provider, Southern Illinois Power Cooperative, part of the bill is a “power cost adjustment” or PCA. This is a multiplier that is used to account for the volatile cost of fuel and other costs of production that can’t be accounted for in the rates. For the last several years, this adjustment has been very low or even negative. We’ve passed these savings onto our members. As this adjustment continues to increase in the current economic climate, your cooperative must continue to keep a close eye on the cost of power to ensure that all necessary services are still able to be provided to our members.
We are doing everything in our power to stave off any changes in our rate structure. However, as the cost of power trends upward, we must stay informed. We have a duty to our membership to provide safe, reliable and affordable power, and we take that duty very seriously.
Don’t forget to be on the lookout for your member number in the center section of this magazine. There are three member numbers hidden in Clay Electric News. If you find your number and give us a call you win $5 off your next bill!