Effective, April 1, 2021, WCEC is adjusting the Power Cost Recover Factor (PCRF) from .02 to .035. This is a necessary adjustment and was budgeted at the beginning of the year and planned for an April 1 effective date. This means all usage billed after that date will be calculated using the new rate.
How it Works
WCEC members have fixed rates. A base power cost is built into all of our rates to help us recover the cost of power. As wholesale costs rise above the base power cost, the PCRF is used to recover those costs. The main advantage of a responsive PCRF is that as fuel prices rise and fall, it can be adjusted upward or downward.
How It Will Affect Bills
The PCRF is multiplied by the number of kWh’s a meter uses per billing cycle. The new PCRF change will equate to a $15 increase per 1,000 kWh.
In Summary
This PCRF change is driven by what it cost to buy the fuel to generate the electricity and is passed through to the members. As a non-profit electric cooperative, WCEC does not mark-up power costs or make a profit from these costs.