Utilities Fixing Lower Profits With Fixed Charges
WASHINGTON, D.C.—Slow growth in electricity demand and growing numbers of customer photovoltaic systems are creating concern among utilities about their ability to adequately recover the costs associated with producing electricity, according to the American Council for an Energy-Efficient Economy (ACEEE). In response, there has been a trend throughout the U.S. of utilities proposing to raise monthly “fixed charges,” or the charges customers pay to the utility just for being a customer. For residential customers, utilities currently charge about $5 to $10 per month for fixed customer charges, but some utilities are proposing to raise those to $20 dollars per month or more.
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