Proposed Rate Increases for 2017

PRESTON PUBLIC UTILITIES

NOTICE OF UTILITY RATE INCREASE

At the regular Public Utility Commission meeting on December 13, 2016, the commission voted to raise the electric charges by 3%, residential and commercial water charges by 10%, industrial water charges by 1% and sewer charges by 10% as averaged across all customers. This increase will be effective February 1, 2017. The average residential customer will see an increase in their monthly utility bill of $1.92 for electric, $1.79 for water and $1.88 for sewer. The reasons for the rate increases are a 2% increase in the City’s wholesale electric cost and capital improvements to the electric, water and sewer systems. For more information, please visit http://www.prestonmn.org/rates.htm .

 Average PPU residential customer is billed for 518kw of electricity and 2,674 gallons of water/sewer usage per month based on billing statistics for the twelve months ending September 30, 2016.


Electric - 3% rate revenue increase

Residential customer base charges will increase 21%, no increase on use (kWh) charges

Commercial customer base charges will increase 34%, no increase on use (kWh) charges

Industrial demand and use (kWh) charges will increase 3%

 

Water - 10% rate revenue increase

Residential & Commercial customer base charges and usage will increase 10%

Industrial customer base charges and usage will increase 1%

 

Sewer - 10% rate revenue increase

Residential, Commercial & Industrial customer base charges and usage will increase 10%