CPS Energy will once again be able to eliminate a rate increase request initially planned to take effect in February 2016.
This is the second time the company has been able to extend the time between rate increase requests, thanks to continued diligent streamlining of our business processes, lower debt costs and increased sales of wholesale electricity.
When CPS Energy came before the community seeking a rate adjustment for 2008, we shared plans which showed the need to seek rate increases every other year for the next decade, to pay for additional growth, environmental compliance and system maintenance.
As our regulator, the San Antonio City Council approved the next planned rate increase, which went into effect in 2010. In 2011, CPS Energy was able to delay our next planned request until 2013. In October of that year, the council approved a 4.25 percent rate adjustment, which went into effect this February.
At that time, we outlined to the council the anticipated need to ask for a 5.25 percent adjustment next year, to take effect in February 2016.
But as in 2012, we now do not need to make that request. Barring unlikely circumstances, we will not need to seek an increase until late 2017, which would go into effect February of 2018.
Several factors allowed for this change. Visit CPS Energy’s blog to read more.