Protect Affordable Electricity: What does affordable mean to you?
Affordable electricity has different meanings for different end-use customers. Some businesses use low-cost electricity as a competitive advantage in a highly competitive global market. Some retirees may look at low-cost electricity as a necessity to balance a tight budget. The farming community may choose electricity to perform several tasks on the farm that increase production and reduce the burden of labor intense tasks. These different applications are important to us regardless of the end-use of the electricity.
Nebraskans have enjoyed the benefits of low-cost electricity for many years through the Public Power model. There are no profit margins “tacked on” to electric rates to satisfy the investors. Any margins collected are returned through lower rates or used to build infrastructure offsetting future rate increases. We also maintain a cash balance adequate to handle any unexpected emergencies we may encounter.
The SCPPD Board of Directors and management understand the importance of reliable and low-cost energy. Low-cost energy has been a competitive advantage for the farming and ranching industry for years here in Nebraska. Businesses are locating in the Midwest, including Nebraska, to escape the high energy costs of both coasts. We understand this and will continue to provide that advantage to our customers the best way we can. Currently we are returning a 10% reduction on wholesale power costs to our customers through a credit on your electric bill. This credit is a line item on your bill labeled PCA that shows your monthly credit. SCPPD has returned over $1 million to its customers since February of 2020 and that will continue through the next couple years.
One of the contributing factors for low-cost energy in Nebraska is the generation fleet, which includes the assests that generate the electricity, and are owned by the rate payers of Nebraska. The NPPD fleet consist of one of the lowest cost, environmentally friendly coal generation facilities in the world. The fleet has a diverse fuel mix as well allowing NPPD to capitalize on the market. If one fuel source increases in cost or is unavailable such as renewable, then others can pick up the slack and serve native load or be sold into the market when there is excess generation. The SPP market has also allowed Nebraskans to sell excess energy into the market when we have more generation than we need.
Here at Stanton County PPD, we will continue to balance reliability and affordability. These are the two of the three pillars of Public Power in Nebraska. We will continue to do our part keep your lights on and keeping that affordable.
General Manager, Chad Waldow