Rate changes effective Jan. 1, 2012
On Tuesday, Dec. 13, City Council approved electric and natural gas rate changes to fund regulatory, safety and reliability requirements. The changes will increase the typical residential utilities bill by 1.7 percent, or $3.27 per month, effective Jan. 1, 2012.
The table below provides examples of typical residential monthly bill amounts. Keep in mind that no home is exactly “typical”; your home’s energy and water usage, and therefore your bill amount, will likely be higher or lower.
Changes effective January 1, 2012
| Electric |
$68.34 |
$0.62 |
$68.96 |
0.9% |
0.3% |
| Natural Gas |
$50.58 |
$2.65 |
$53.23 |
5.2% |
1.4% |
| **Water |
$41.28 |
$4.95 |
$46.23 |
12.0% |
2.6% |
| Wastewater |
$32.70 |
- |
$32.70 |
- |
- |
| Total Bill |
$192.90 |
$8.22 |
$201.12 |
|
4.3% |
|---|
Based on typical year-round monthly use: 600 kWh electric, 60 CCF natural gas, 1100 CF water, 700 CF wastewater
**Water rate change was approved in May 2010.
What’s driving the 2012 budget and rates?
The primary rate driver for 2012 is our increased need for capital investments to comply with new environmental regulations, maintain our existing pipes, plants and wires, and build new infrastructure for our community’s future.
- New environmental and reliability mandates
Federal and state regulations require us to install emissions control equipment at our coal-fired power plants by 2016. The cost using conventional emissions scrubbers would be more than $300 million. Additional investments are required to comply with more stringent NERC (North American Reliability Corporation) reliability guidelines
- Maintaining an aging utilities system
Many of our community’s pipes, plants and wires are nearing the end of their useful lives and must be replaced or overhauled. Without continued expenditures on maintenance, the reliable energy and water service you’ve come to expect would not be possible.
- SDS: Investing in our community’s future
The Southern Delivery System will benefit all water customers and is critical for our community’s future. The State demographer projects the population of El Paso County to increase 1.9% each year over the next 30 years – or from 622,565 people in 2010 to 981,394 by 2040. Our population will increase through infill, increased density or other development. There are approx. 22,000 acres of undeveloped land in Colorado Springs aside from the 18,000 acres of Banning Lewis Ranch land that are in question. SDS will also provide a backup to our existing aging water delivery system and help protect our community from drought.
- Fuel costs
Coal, natural gas and purchased power costs are projected to rise in 2012. Changes to fuel costs, up or down, are passed along to customers, dollar-for-dollar.
What we’re doing to control costs
- Reducing payments to third party power providers
The recent purchase of the Front Range Power Plant enables Colorado Springs Utilities to generate more of our own power and eliminate power capacity payments to the previous owners. The savings are being passed along to customers through reduced Electric Capacity Payments.
- Using new technologies.
We’re installing new emissions control technology at the Drake Power Plant. Developed by a local company, the new equipment reduces sulfur dioxide emissions by more than 90 percent. The new device will reduce the cost of complying with new environmental regulations. We need to begin investing in this technology in 2012 to be in full compliance when the new regulations are in place.
- Prioritizing critical projects.
Projects are prioritized based on their impact to system reliability and the safety of our customers and employees. We are only doing work that’s absolutely necessary.
If you need help paying your bill
Depending on your situation, you may qualify for financial aid. Whether it’s our customer-supported Project COPE or our partnership with state and federal agencies like LEAP and HEAP, we can help you manage your utilities bills. For additional information and referral services, call 2-1-1.
What you can do to control your bill
Use these simple energy- and water-saving tips to reduce your utility bill by up to 30 percent:
- Keep your thermostat at 68 degrees or lower in the winter.
- Turn off lights and electronics in empty rooms.
- Replace old light bulbs with compact fluorescent light bulbs.
- Wash only full loads of dishes and laundry.
- Open window coverings on sunny days to let in the sun's warmth. Close them at night to keep the cold air out.
- Check toilets, water faucets and pipes for leaks.
- Install a low-flow shower head.
- Take shorter showers.
- Set your water heater temperatures no higher than 120 degrees.
- Seal leaks and cracks, especially around windows and doors.
More tips on how to reduce your energy and water use.
We’ll help you pay for efficiency upgrades for your home.In partnership with the Governor’s Energy Office, we offer rebates for purchases of qualifying energy- and water-efficient home improvements, including insulation and air sealing, clothes washers, WaterSense toilets, windows, renewable energy and more.
Rebate details.
Sign up for Budget BillingBudget Billing allows you to pay the same amount on your utilities bill each month. This keeps your bill level despite the ups and downs of energy and water use season to season.
Budget Billing details.