NHEC Board Approves Rates; Electric Bills to Decrease in February

by | Dec 21, 2023 | Rates, Uncategorized

PLYMOUTH, NH –The New Hampshire Electric Cooperative (NHEC) Board of Directors this week approved rates that, combined with NHEC’s strategy and flexibility in purchasing power, will result in an overall bill decrease for most members beginning Feb. 1.

“We’re focused on keeping electric rates affordable for all of our members. Over the past year we have been able to steadily decrease members’ electric bills and we’re pleased to be able to continue that trend,” said Alyssa Clemsen Roberts, President and CEO of NHEC.

The Co-op Power rate, which reflects the actual cost of power that NHEC purchases for use by its members is decreasing by 11 percent ($0.01264 per kilowatt hour) and will be in effect through July 31, 2024.

The board approved the staff recommended increases in the Member Service Charge of 4.9 percent ($1.63 per month) and the Distribution kilowatt per hour (kWh) charge of 6.8 percent ($0.00274 per kWh) for most members. This will result in about a 2.3 percent increase ($3 increase per month) beginning in members’ January bills. However, the approved Co-op Power rate reduction will more than offset this increase, resulting in a $6 per month decrease in the overall bill for a typical member starting in February.

For more information about NHEC’s rates, including a current schedule of rates, please visit our website: www.nhec.com/rates-tariffs/

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Contact: Colin Manning
(603) 361-4459
manningc@nhec.com

Second Consecutive Rate Cut Coming for NHEC Members

by | Jun 30, 2023 | Rates, Uncategorized

PLYMOUTH, NH – The Board of Directors approved this week the second consecutive rate cut in a year for most New Hampshire Electric Cooperative (NHEC) members.

Beginning August 1st, the rate change will result in an overall bill decrease of 7% (or $10.03 per month) for the typical member using 500 kWh of electricity per month. The typical 1,000 kWh member will see a total bill decrease of 8% ($20.27 per month).

This most recent decrease comes on the heels of a February 2023 rate reduction that resulted in a total bill decrease of 9.3%. It is also a welcome sign that wholesale electricity prices continue to ease in New England, following a turbulent period of sharp increases in 2022.

The August 2023 change includes a decrease to the Co-op Power rate, which reflects the actual cost of power that NHEC purchases for use by its members. The new Co-op Power rate will be 11.42 cents per kWh and will be in effect through January 31, 2024. While there will be a slight increase to the Regional Access Charge, the overall bill will decline for most members.

“One of the best things an electric cooperative can do for its members and communities is to keep electric rates affordable,” said NHEC President/CEO Alyssa Clemsen Roberts. “That’s been a challenge in New Hampshire recently, and we’re very pleased to be able to offer another rate decrease to our members.”

For more information about NHEC’s rates, including a current table of rates, please visit our website: https://www.nhec.com/rates-tariffs/

Electric Bills Trending Lower in 2023 for NHEC Members

by | Dec 21, 2022 | Rates, Uncategorized

PLYMOUTH, NH – The New Hampshire Electric Cooperative (NHEC) Board of Directors has approved changes to rates that by February 1, 2023 will result in an overall bill decrease of 9.3%, or $14.43 per month for the typical residential member using 500 kilowatt-hours (kWh) of electricity per month.

The first change will occur with bills rendered on or after January 1, 2023, when the Member Service Charge portion of members’ bills will increase by 1.3%, or $2.01 per month, from $31.02 per month to $33.03 per month. On February 1, 2023 a reduction in the Co-op Power Charge and the Regional Access Charge will result in a 10.5% decrease for typical residential members. The combined effect of these changes will result in an overall bill decrease of 9.3% per month, effective with bills rendered on or after February 1, 2023.

The Member Service Charge is a fixed, monthly fee that helps cover the operating expenses of the cooperative, including the maintenance and improvement of its electric distribution system. The change was approved in part to fund increased investment in right-of-way clearing and other system reliability improvements. It will also help NHEC to keep pace with rising local property taxes, increased interest expenses and inflationary costs.  The Member Service Charge is assessed to all NHEC members, regardless of how many kilowatt-hours of electricity they use.

The reduction in the Co-op Power Charge and the Regional Access Charge rates reflect an easing of energy prices in the region, which is welcome news for NHEC members after a period of escalating energy costs. The Co-op Power rate and the Regional Access Charge are adjusted twice a year to reflect the actual cost of power that NHEC purchases for use by its members. NHEC does not mark up the rate it charges for power, nor does it profit from the sale of electricity.

Effective with bills rendered on or after February 1, 2023, the Co-op Power rate will decrease from 16.98 cents per kWh to 13.78 cents per kWh. The Regional Access Charge reflects the cost NHEC pays to have electricity delivered to its substations, as well as a state-required refund of Regional Greenhouse Gas Initiative (RGGI) proceeds.  The Regional Access Charge will decrease from 2.85 cents per kWh to 2.76 cents per kWh with bills rendered on or after February 1, 2023.

A complete list of NHEC rates, charges and fees is available here: https://www.nhec.com/rates-tariffs/.

NHEC Sets New Power Rate

by | Jun 28, 2022 | Rates, Uncategorized

PLYMOUTH, NH (June 28, 2022) – New Hampshire Electric Cooperative (NHEC) is increasing its Co-op Power Charge from 9.62 cents per kilowatt-hour (kWh) to 16.98 cents per kWh. The new rate will take effect with bills rendered on or after August 1, 2022.

The Co-op Power Charge includes the cost that NHEC pays to purchase electricity on behalf of its members from the wholesale electricity market. The cost of these electric market purchases is directly passed through to members who have not chosen to purchase power from a competitive supplier. NHEC does not add any additional charges or fees to its Co-op Power Charge, and it does not fund NHEC’s operations.

In New England, natural gas is the predominant fuel used to generate electricity. The price of natural gas is nearly three times higher than this time last year. Natural gas prices are impacted by global supply and demand, which has led to historically high electricity prices in New England and across the country.

The new Co-op Power Charge and Regional Access Charge will result in a $37.55 a month increase for the typical residential member using 500 kWh per month, or 32% total bill increase. Members using 1,000 kWh per month will see a total bill increase of $75.09 per month, or 37%.

“The price of the electricity NHEC purchases for our members who opt to take Co-op Power energy service has continued to climb,” said Brian Callnan, NHEC’s VP of Power Resources and Access. “An adjustment to the Co-op Power Charge will help stabilize our members’ electricity costs through the upcoming fall and winter.”

“From the supermarket to the gas station to the electric meter, costs are up across the board,” said Jim Bakas, NHEC’s Interim General Manager. “We know that any rate increase is difficult for our members, many of whom are on fixed incomes or already struggling to pay their bills. We want our members to know that we are here to help and there are Co-op, state and local assistance programs available. We encourage members to call us at (800) 698-2007, or visit www.nhec.com/financial-assistance. Our Member Solutions representatives are ready to create payment plans or budget billing that works for you. Our Energy Solutions department is also ready to help with efficiency programs that offer incentives, rebates, and advice for getting the most from your energy dollars.”

Co-op Power Rate Adjustment Schedule

NHEC has traditionally adjusted the Co-op Power and Regional Access Charges in May to reflect power and transmission costs for the upcoming summer period, and again in November for the winter period ahead. To mitigate seasonal price fluctuations and provide NHEC members with more stable rates, NHEC is changing the time of year it sets these charges to August and February of each year. Setting the Co-op Power Charge in August and February will align NHEC with other New Hampshire utilities and avoid the large swings in electricity prices that have occurred over the past several years.

NHEC Sets Summer Power Rates

by | Apr 6, 2022 | Rates, Uncategorized

PLYMOUTH, NH (April 6, 2022) – New Hampshire Electric Cooperative’s (NHEC) Board of Directors has approved changes to the Co-op Power rate and Regional Access Charge, which will result in an overall bill decrease for most residential members of about 4%, or $5.06 per month. The new rates will take effect with bills rendered on or after May 1, 2022.

The Co-op Power portion of members’ bills will decrease from the current winter rate of 9.8 cents per kilowatt-hour (kWh) to 9.6 cents per kWh for the summer. The Co-op Power Charge includes the cost that NHEC pays to purchase electricity from the wholesale electricity market. The cost of this power is directly passed through to members who have not chosen to purchase electricity from a competitive supplier. The Co-op Power Charge does not fund NHEC’s operations. Last May, NHEC set its summer rate at 6.5 cents per kWh.

The May 1 rate changes will also include a 23% decrease in the Regional Access Charge portion of members’ bills. The Regional Access Charge includes the costs NHEC pays transmission companies to deliver electricity to its distribution system. The rate also includes the state-required refund of Regional Greenhouse Gas Initiative (RGGI) proceeds. As with the Co-op Power Charge, the costs NHEC incurs from transmission companies are passed directly through to members.

“The Co-op Power Charge reduction for the summer period is not as low as we’ve seen in years past,” said Brian Callnan, NHEC’s Vice President of Power Resources & Access. “The primary driver is natural gas prices remaining high throughout the summer, which is the fuel used to generate nearly half of the electricity in New England. The United States exports an increasing amount of natural gas. As a global commodity, natural gas prices are impacted by international events and markets. As with other fuels, high natural gas prices are leading to higher electricity costs this summer.”

For more information about NHEC rates, charges and fees, please visit our website at https://www.nhec.com/rates-tariffs/.

NHEC Sets Member Service Charge for 2022

by | Dec 7, 2021 | Rates, Uncategorized

PLYMOUTH, NH – (December 7, 2021) For the first time in four years, New Hampshire Electric Cooperative (NHEC) will increase its Member Service Charge to reflect the ongoing costs to operate its electric system.  For a typical member who uses 500 kilowatt-hours (kWh) of electricity, the Basic Residential Member Service Charge will be increasing by $1.70 per month, a 1.4% total bill increase.  All other monthly charges will stay the same. This change will take effect on bills rendered on or after January 1, 2022.

The Member Service Charge is a fixed, monthly fee that is paid by all NHEC members, regardless of how much electricity they use each month. The charge pays for the operating expenses of the Co-op, ensuring that NHEC’s electric distribution system continues to provide safe and reliable service to all its members.

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Over the past four years NHEC has seen the cost to provide service to its members rise. For example, the cost NHEC pays contractors for tree trimming in power line rights-of-way has increased by nearly 40% during that period. The Member Service Charge funds essential investments that make NHEC’s system more reliable, like tree trimming and equipment upgrades. These projects help reduce the number and duration of power outages and are critical to maintaining the electric distribution system throughout NHEC’s rural service territory.

“NHEC is a nonprofit cooperative, which means we operate our electric system at cost for our members,” explained Jim Bakas, NHEC’s Interim General Manager. “We are always mindful of the costs we incur and the rates our members pay. Unfortunately, the cost to run the Co-op has gone up over the past four years and we need to increase our Member Service Charge so we can continue to provide safe and reliable service. Our members rely on NHEC’s electric system whether they use 10 or 10,000 kilowatt-hours a month. Increasing the Member Service Charge is the fairest way to meet our operational needs.”

The Basic Residential Member Service Charge will increase from $29.32 per month to $31.02 per month. NHEC is maintaining its current Distribution Delivery Charge of 4 cents per kWh, the fourth consecutive year without an increase. A complete listing of rates and charges is available on the NHEC website at www.nhec.com/rates-tariffs.