The Arizona Corporation Commission approved new rates for UniSource Energy Services this week and are expected to go into effect in early February. For most Lake Havasu City residents, this means an average monthly bill increase of $13.68.
The rate hike was approved at an Arizona Corporation Commission hearing on Wednesday. Unisource officials said customers' bills this week will vary based on usage and are likely to be even higher during the Havasu region's sweltering summer months.
Until this year, UniSource's base price was based on the company's costs in 2014 and has remained unchanged since August 2016. During that time, the company has faced sharp cost increases due to inflation, a 16% increase in peak energy demand, and surcharges. Over 8,000 customers requiring UniSource services.
The new rates will help UniSource meet growing energy needs in Mojave and Santa Cruz counties, while addressing more than $330 million in infrastructure investments the company has made over the past seven years, according to a news release from the company this week. It is said that it may be useful for
UNS CEO Susan Gray said this week: “After more than seven-and-a-half years of no base rate increases, we are introducing new rates to support our continued investment in safe and reliable services. “is necessary,” he said.
Unisource has previously reduced the need for rate increases by reviewing its expenses and investing in upgrades aimed at lowering operating costs, company officials said.
Wednesday's decision follows additional fees for UniSource customers that began in May. At the time, the company announced last year that UniSource customers' electricity bills would increase by an average of $11 due to temporary purchased power and fuel adjustment fees. The levy is set to expire in December, and the company implemented it to recoup about $104 million in increased fuel and energy costs.
But Lake Havasu City customers were criticizing the company's surcharges as of last June, as they appeared to add hundreds of dollars to residents' electric bills over the summer.
Mohave County Supervisor Buster Johnson, who represents the city of Southern Lake Havasu, led the effort last year to oppose the company's proposed rate increases, which are set to go into effect Feb. 1. .
“I don't think that's sustainable for ordinary people,” Prime Minister Boris Johnson said on Friday. “Food and housing costs are skyrocketing, so shifting that burden onto residents will only make the problem worse.”
Throughout last summer, Johnson fielded calls from concerned Mohave County residents. And while he says those calls have largely subsided as winter electricity bills have dropped, residents are still concerned that this winter's electricity bills could be among the highest they've ever seen. It has been stated.
As a regulated monopoly, UniSource requires oversight and permission from the Arizona Corporation Commission to increase rates for customers throughout Arizona.
“Once the ACC votes in favor of an increase, there's not much we can do,” Johnson said. “We tried to get information from (Arizona Corporation commissioners) about how this would impact Havasu residents before voting, and four of them prioritized UniSource's wealth over the well-being of residents. It is important that those affected by this increase recognize who voted in favor of it and hold them accountable.”
Arizona Corporation Commissioners Nick Myers, Kevin Thompson, Lee Marquez Peterson and Jim O'Connor voted in favor of the rate hike. Commissioner Anna Tovar disagreed.
