Recently, Golden Valley Electric Association filed for two rate changes with the Regulatory Commission of Alaska. With these two rate adjustments, members will see a net decrease in electric rates. Below are more details.
Effective December 1, 2023 – February 29, 2024
- Quarterly Fuel and Purchased Power rate adjustment
- GVEA’s Fuel and Purchased Power rate is updated quarterly, effective Dec. 1, March 1, June 1 and Sep. 1.
- On December 1, the Fuel and Purchased Power (F&PP) rate decreased 2.438%, from 12.057¢ to 11.763¢ per kWh. The F&PP rate is a straight pass-through. GVEA’s members are only charged the actual cost to generate and purchase power, there is no mark-up. This charge is an estimate of what GVEA anticipates will be its costs over the next three months to generate and purchase the energy necessary to meet the electrical needs of its members and a true up of any over-collected or under-collected amounts from the prior quarter.
Effective January 1, 2024
- Utility & Demand Charges
- Twice a year, GVEA files a simplified rate filing (SRF), with any requested rate changes effective January 1 and June 1 of each year. The SRF process only affects the Utility Charge, and if applicable, the Demand Charge on a member’s bill. The SRF process allows GVEA to make these changes without going through a general rate case, a time-consuming and expensive process.
- On January 1, the Utility and Demand Charges will increase by 2.05%. The need for a rate change through the SRF is based on an evaluation of whether GVEA has sufficient revenue to cover operations and maintain financial stability.
With these two adjustments, the average residential member will see their bill go down by 15¢ per month.