About Us
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Brad Schardin |
Make Your Voice Heard
This month I have the responsibility
and the opportunity to review with you the information relating to the rate change that was reviewed and approved by your elected board of directors. On behalf of your board of directors, management, staff and all employees we want you to know that having to implement rate changes is not something that we look forward to.
But as your manager, it is one of my main responsibilities
as costs go up to make sure that Southeastern Electric Cooperative continues to be financially strong and able to meet your needs for reliable, efficient and affordable electric energy today and into the future. EffectiveMay 1, 2008, we will see a 12 percent increase in the cost of power that we purchase for your everydayneeds which composes over 65 percent of our total costs. The easiest way to describe this increase in our wholesale power cost is that it is related to the drought, rising costs of energy as a whole and the need for new generation resources and facilities to serve yours, mine and everyone’s increasing appetite for electricity.
Our operating costs, controllable by your board, are increasing at a moderate pace as compared to our cost of power. That was an item foreseen by your present and past board members when we asked you to approve our consolidation in 2000 and the merger in 2006. Projections showed that power costs were going to increase and that we needed to find a way to hold operating costs down and spread them out over more members.
An average member’s residential/farm bill will increase about $5 to $9 per month effective with the May 2008 billing period. I know it’s money that doesn’t come easy and believe me we wouldn’t make these recommendations to your board or ask them to approve these changes if we could foresee additional cuts or ways to avoid increased costs coming in the next three to five years. As part of this rate change we will also bring the former McCook member rates in line with the overall Southeastern rates. Those members will see a smaller increase due to the fact that their rates have been 10 percent to 15 percent higher Make Your Voice Heardthan the overall Southeastern rates since their last rate change in 2000.
The electric heat rates will also change due to the overall increase in base power costs to a level that is comparable to $1.10 per gallon fuel oil, $1.09 cents per gallon propane and $1.20 per therm natural gas. Today’s cost for these fuel sources are $3.50 per gallon fuel oil, $2.04 per gallon propane and $1.32 per therm natural gas.
So as you can see we are seeing a jump in our electric rates, but we believe that we will continue to be your best energy bargain. Along with your April bill look for more detailed information covering these rate increases.
Last month I commented on my son’s conversation about climate change and global warming issues. This month we are unveiling our national education campaign referred to as “Our Energy, Our Future: A Dialogue With America.” Inside this May issue you’ll have a host of materials to review. We ask you to please take time to read and study this important information because you the member-owners will be most affected by federal action on these issues and we need you to voice your comments and concerns to our Senators and Representative in Washington, D.C. To start a dialogue with your members of Congress you can go to www.ourenergy.coop which will provide more in-depth information on the concerns of your electric cooperative.
Once again, we ask you to complete a postcard or e-mail your legislators on these very important issues. Our legislators need to fully understand the costs associated
with the potential solutions being considered by Congress to help them make the best decision possible. I am proud of our electric cooperative system. We have been leaders in the cleanest, most efficient and cost effective generation of electric power for your everyday needs and we plan to continue to be leaders in that area today and into the future.
PLEASE E-MAIL OR SEND A POST CARD FROM THE CENTER OF THIS NEWSLETTER NOW!
If you have any questions or need additional information,
please feel free to give us a call!