As a member-owned, not-for-profit electric cooperative, CORE increases general rates only when absolutely necessary.
Higher costs for fuel, labor and materials – as well as the extended inoperative state of the Comanche Unit 3 power plant from which we typically draw a significant portion of our distributed energy – have significantly increased what we currently pay to acquire and deliver reliable electricity to our members.
CORE’s Board of Directors has approved changes to the cooperative’s rates and regulations that, starting with September 2022 bills, will:
• Increase our base rates (kWh) for electric service by an average of 6%;
• Increase the demand charge portion of our residential rate from $1.50 to $2 per kilowatt (kW) during the “on-peak” period of 4 to 8 p.m.;
• Increase for our non-residential rates the demand (kW) charge portion, which varies by rate class;
• Restructure some non-residential base rates to three-part rates with demand charge, energy charge and fixed monthly charge.
CORE understands that even a slight increase in rates affects our members. Your power needs are our priority in any decision regarding rate increases. These changes to the rates and regulations are necessary for our cooperative to cover the actual costs of power.
• The 6% average increase is lower than or comparable to recent increases made by most other Colorado electric utilities, including cooperatives and municipal and investor-owned utilities.
• CORE’s rates remain lower than most of Colorado’s other electric utilities. The cost for 700 kilowatt-hours of residential service from CORE, as of early 2022, was $99.04. The average among the state’s electric utilities – including other cooperatives, municipal utilities and investor-owned utilities – was $102.66.
• This is only the second general rate increase we have made since 2013. In that time, our rates have gone up a total of just over 8%, even as inflation has grown 27% and our costs to provide electric service have increased nearly 38%.
Increase in costs for CORE to deliver electric service since 2013
Inflation since 2013
Total increase in CORE base rates since 2013
CORE continues to identify and pursue ways in which we can mitigate financial impacts to our members.
• We employ a small, talented and dedicated group of professionals. Our employee-to-member ratio is 1:657.
• We are implementing technologies and workflows that make our cooperative more cost-efficient. Installation of Advanced Metering Infrastructure (AMI), for example, has reduced our field visits by tens of thousands over the last several years.
• We continue to invest in utility-scale renewable energy sources that will allow us to purchase power at or below the rate we pay for power from non-renewable sources.
• We are currently seeking an energy partner from which we can purchase a flexible, diverse power supply beginning in 2026, after our current power purchase agreement with Xcel Energy expires.
• We also have filed suit against Xcel Energy subsidiary Public Service Company of Colorado (PSCo) – majority owner and operator of Comanche Unit 3 – to recover damages on behalf of our members.
• We maintain a small, reasonable margin between our year-to-year operating revenue and the costs of electric service, and typically return a significant portion of that margin to members as capital credits. Our costs and and revenue, in millions of dollars, since 2014:
-
Costs
-
Revenue
Other Colorado Utility Rate Increases
• Colorado regulators OK Xcel’s plan to pass costs from ’21 winter storm to customers
• Colorado Springs Utilities: We’re proposing rate increases for electric and natural gas
• Electricity, natural gas rates going up this summer
• Xcel customers’ bills to increase as regulators back recovery of $500M in storm costs