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Service Availability Charge adjustment
Every electrical provider has a service availability charge or fixed cost grid charge. This charge is a flat fee designed to recover a portion of delivering energy to all members.
The service availability charge is an investment in poles, wires, transformers, regulators, tree trimming, taxes, and line maintenance. During severe storms there are never any charges added to the membership regardless of the destruction that has occurred. This is a part of the service availability charge because when or how often you flip the light switch or turn on the T.V. this is the expense to have electricity available when you want it. If one member uses 1 KWH of electricity and another member uses 1000 KWH, the cooperative still incurs the same cost. These include the cost to build the line, maintain the line, as well as the cost to deliver and serve electricity to both members. This is why the service availability charge exists and is so important. Different kinds of users require different configurations of lines, transformers and substations. Each configuration bears very different costs, which are allocated appropriately to each type of service or rate class. This approach ensures that one rate class is not paying for the needs of another rate class, keeping service fair and equitable.
Effective with the February 2020 bill, the availability charge will see an adjustment of .13 cents per day on residential rate. All other rates will be adjusted accordingly.