Palmer, AK – Starting January 1st, Members will see a slight overall decrease in rates in the first quarter of 2022 due to a decrease in the Cost of Power Adjustment (COPA) rate. There are a few different charges on your monthly electric bill; the COPA rate primarily includes fuel and purchased power costs, while the base rate (or “energy charge”) includes the cost to bring power to our members’ homes and businesses. Rates are reviewed quarterly and are subject to a variety of factors including member electric use, weather, and market conditions.
In December the Regulatory Commission of Alaska (RCA) approved a 2% increase to base rates, effective January 1st. This is MEA’s first base rate increase in two years and comes because of increased investment in the infrastructure necessary to provide power. Meanwhile, the COPA rate decreased by 5.05%(effective January 1, 2022) due to an increase in sales to other utilities, helping to offset the base rate increase and creating an overall rate decrease in the first quarter for members. This is the third overall rate decrease for members in a row.
A typical MEA member, consuming about 677 kWh per month of electricity, will see their overall monthly bill decrease by about $0.79 or 0.54%.
MEA may file limited increases or decreases in base rates on a quarterly basis, provided the adjustments stay within certain financial parameters established by the RCA.
To view the current rate sheet, click here.