At the recent CEC Annual Meeting, Aaron Roark, Cimarron Electric CEO, explained how the co-op’s current rates were not aligned with the current fixed and variable costs of the cooperative.
When reviewing rates, we consider how to best balance fixed and variable rates to align with Cimarron’s fixed and variable costs to make sure everyone pays their share. Our current rate structure doesn’t accomplish either of these objectives, so the board approved changes to the rate structure.
Cimarron hasn’t had a rate change since 2014 which was ten years ago. This realignment is not designed to raise additional revenue for Cimarron, so most members won’t see a difference in their bill.
Here is what the realigned rate structure will look like:
• The Service Availability Charge will move from $24.00 to $30.00. This will better align our fixed revenue with our fixed costs.
• The kWh Charge will nudge up to reflect the increased baseload cost of power. The variable cost will be covered by the kWh Charge.
• The PCA will be significantly deceased, due to being absorbed in the rate.
These changes will be implemented in the September 21st to October 20th billing period. You will see the realigned rates on the bill you receive in your mailbox around November 1st.
If you have any questions or concerns regarding this rate alignment, we encourage you to call our office during regular business hours (8:00 a.m. – 5:00 p.m.) at 800-375-4121. You can also visit our website (https://cimarronelectric.com/home/member-center/rates/) for the rate schedule and more information or send us your questions or comments in an email to ask@ce.coop.
