Power cost decreases on March bills, another decrease likely for April

Members are being billed less for power in March thanks to a reduction in the Power Cost Adjustment on bills. Mem­bers using the industry household average of 1,000 kWh of power are now paying $146. The previous cost was $149.50. The cooperative is able to lower the cost of power due to a slight decrease in the price of natural gas, which Seminole Electric Cooperative (Clay’s wholesale power pro­vider) uses to generate a sizable portion of the wholesale electricity it provides.

If natural gas prices continue trending lower, the PCA may be lowered again in April.

The PCA is a separate line item on each Clay Electric statement, which reflects the increases/decreases in the co-op’s cost of power. The cost of wholesale power is more than 70 percent of Clay’s total expenses.

When the cost of power is greater than the amount included in the base rate, the PCA is a charge. When the cost is less, it’s a credit.