The Lakeland City Commission voted to increase the electric fuel charge for Lakeland Electric customers for the next fiscal quarter (April/May/June 2017). This is the first increase in the fuel rate in over two years. Within the last year, the financial reserve for fuels had been over-collected by approximately $7 million. With time, this surplus has lessened and it is now time to take action to keep the reserve balanced.
The fuel charge will increase from 3.425¢ per kilowatt hour (kWh) to 3.775¢ per kWh. Multiplying the new fuel charge by 1,000 kWh, which is typically the average minimum a residential home utilizes in a month, the cost equals $37.75 per 1,000 kWh for fuel.
Even by increasing the fuel charge Lakeland Electric customers will continue to have some of the lowest electric rates in the state. As with most electric utilities that generate their own power, the cost of fuel is directly passed onto the customers. Keeping the fuel charge as low as possible is an important part of Lakeland Electric’s ever-ongoing effort to keep our customer’s electric costs low.
|Residental rates based on 1,000 kWh||Current||New rates – effective April ,2017|
|Base Charge * (see below for breakdown of charges)||$63.02||$63.02|
|Energy & Smart Grid charges||$50.99/1000 kWh|
|Environmental Charge||$2.53/1000 kWh|
|Total Base Charge||$63.02/1000 kWh|