SAVING FOR OUR MEMBERS!
Successful efforts this year in the wholesale purchase power market have allowed Mohave Electric Cooperative the opportunity to purchase power at a lower cost than anticipated. Last summer, MEC asked members to curtail power so that members were not faced with high market prices. The efforts from members have led to fantastic results. The savings MEC worked diligently on will be directly passed on to our members in the Purchased Power Adjuster that can be seen directly on the members’ bill. “As a not-for-profit utility, MEC makes every effort to save its members money by negotiating for the most reliable, yet affordable power prices possible” said Tyler Carlson, CEO of MEC.
On December 17, 2020, the MEC Board of Directors approved a change in the Purchased Power Adjuster (PPA) from the current (2020) factor of – $0.0075 per kWh sold to a factor of – $0.0125 per kWh sold, going in to effect on February 1, 2021. The Purchased Power Adjuster, required by the Arizona Corporation Commission as a way to adjust for purchased power variances not included in the energy rate, has been a – $0.0075 cent credit to our members for the years 2019 and 2020. It is rare that a company can not only grow with inflation and demand, but also be able to continue to return and increase a credit back to members. For 2021, MEC was able to expand the – $0.0075 credit to a – $0.0125 credit resulting in an adjustment of savings from $7.12 to $11.37 (based off 950 kWh residential average usage).
The difference is an additional $4.25 savings (based off 950 kWh residential average usage)! Because MEC is a not-for-profit, energy cost, whether high or low, is passed onto our members. MEC strives to purchase power for the lowest cost to continue to save members the maximum amount on their electric usage. This is one of the perks of receiving power from a business that follows the cooperative model. “In a world of ever-inflating product margins, MEC is proud to continue to provide service with less than 1.2 times the energy cost for the past 75 years” Carlson says.
Members questioning where they can see this savings can find the Purchased Power Adjuster directly on their bill. For more information on how MEC is working to save our members money or questions regarding the PPA, find our website at mohaveelectric.com or stop by or Member Services Office located at 928 Hancock Rd. in Bullhead City, Arizona. Members can also call 928-763-1100 with questions or concerns.