For More Information Contact:
Joe Harwood, 541-685-7471
Eugene Water & Electric Board

April 6, 2011

Electric and water rates to increase effective May 1

Eugene Water & Electric Board commissioners on Tuesday night approved spring electric and water rate increases following a series of public hearings over the past five weeks. The rate actions will become effective on May 1.

Commissioners approved an overall 3.1 percent electric rate increase to help EWEB balance the higher costs of renewable power investments with the recession-related drop in wholesale power prices, which decreases the surplus power sales revenues the utility counts on to keep rates low.
 
The effect of the proposed rate action will result in an increase of about $2.85 per month, or 3.3 percent, for the average residential customer.

Commissioners also approved an overall average water rate increase of 7.1 percent, or about $1 per month for the average residential customer. For residential customers who do a moderate amount of outdoor watering during the summer months, the rate action will result in a monthly increase of about $3.30.

The water rate increase is driven primarily by the need to build cash reserves for future infrastructure upgrades and additions to the water system. The proposed increase will help EWEB make a series of capital improvements to the utility's water system to ensure reliable service and the delivery of high quality water.

No customers testified during the water and electric rate hearings held Tuesday night.