Posted: May 26, 2010 7:39 AM by Bea Karnes, News First 5
Updated: May 26, 2010 7:39 AM
Xcel Energy is launching a two-tiered rate plan aimed at encouraging customers to cut electricity use during the summer.
The plan takes effect June 1 and will be in place through September. Customers will be charged the lower rate of 0.098 per kilowatt hour for the first 500-kilowatt hours and 0.14 per kilowatt hour for use above 500 kilowatt hours.
Xcel Energy says figured on annual basis, most customers will likely pay nearly the same as under a single-tier system. An average residential customer using about 632 kilowatt hours per month will pay roughly $75, a 2.5 percent increase.
The utility says the summer rate is designed to encourage conservation when energy costs are highest.