Electric rates remain unchanged amid rising costs
The past five years have brought unprecedented increases in costs to nearly everything from groceries to construction materials to vehicles. We understand the financial strain this places on our members.
Since completing our last cost-of-service study, the cost of generating and purchasing electricity has also risen significantly. Our power suppliers, Basin Electric Power Cooperative and the Western Area Power Administration (WAPA), have announced wholesale power rate increases of 8–10% for 2026, with similar projections for 2027.
Meanwhile, expenses for critical infrastructure continue to climb. Poles, insulators, transformers and circuit breakers have become more costly due to global material shortages and inflation. Additional increases in fleet maintenance and replacement, property and business insurance, employee wages and health insurance have added further pressure.
To prepare for these challenges, we established a revenue deferral plan in 2022. This plan allows us to set aside excess revenue from strong financial years and use it later to help offset rising costs and manage future rate increases.
Despite these financial pressures, we remain committed to careful budgeting and efficient operations to limit the impact on our members. Our top priority is to keep rates stable and continue delivering the safe, reliable power you rely on every day.
We appreciate your continued understanding and support as we work together to power our communities with dependable, affordable electricity.
Until next time,
Jerry King
General Manager
