OPALCO’s proposed rate increase

The following was submitted by Orcas Power and Light Cooperative.

At the November meeting, staff presented the proposed 2017 Budget Plan to the Board for discussion. The budget includes a 5 percent revenue increase, which will affect the average bill by roughly the same amount. The rate increase will be applied to the energy usage (kWh) portion only of residential and commercial bills and the facilities charge will remain the same. The increase (or decrease) that members will see on their actual bills will vary depending on how much energy they use and their particular rate block.

The Board approved the 2017 budget and will vote on the proposed rate increase at the Dec. 15 board meeting in Friday Harbor. The revenue and rate increase is necessary to meet OPALCO’s cost of service which is primarily driven by the rising cost of power from BPA and cost of living increases in labor expense.

Major capital projects in 2017 include the installation of the submarine replacement cable in the Lopez-San Juan crossing, 15 miles of underground cable replacement, the completion of fiber build out for the electric distribution system and planning for a 2018 Community Solar project.