On Jan. 21, 2020, a rate adjustment proposal was presented to the Wheatland Electric Cooperative, Inc. Board of Trustees and approved during an open meeting.

This rate adjustment was based on a cost-of-service study completed by Mike Searcy of C.H. Guernsey and Associates in 2019. This rate adjustment was approved to be phased-in over a three-year period: 2020, 2021 and 2022. The second phase of the rate adjustments went into effect on April 1, 2021. 

Two integral parts of the rate adjustment are the Energy Charge (per kWh) and the Service Availability Charge. The cost-of-service study found that the previous tariffs relied too heavily on the Energy Charge (per kWh) to cover many of Wheatland Electric’s fixed costs. Since energy usage is extremely variable, the current tariffs are designed to be more fair and more efficient. Ultimately, the Energy Charge (per kWh) was lowered, and the Service Availability Charge was raised.

The Service Availability Charge is a fixed monthly charge designed to recover the costs of providing equipment, materials, labor and business overhead necessary to serve each meter, regardless of the amount of electricity consumed. These fixed costs are the same for a member using 10 kWh or 5,000 kWh.

Visit our tariffs webpage to learn more about Phase 2 of the rate adjustment that began on April 1, 2021. You will find all three phases of the rate adjustment included there. As always, please contact your local Wheatland office with any questions.