LUB Taking Steps on Rate Study

Lamar Light Plant Crushed Coal Conveyer

Houssin Hourieh, Lamar Light and Power Superintendent, outlined the Lamar Utility Board’s requests for the Board’s electric rates. The study, conducted by Nebraska Municipal Power Pool (NMPP), presented their findings to the board during the August 11, 2020 meeting.

The protocols for any changes require a public hearing for any proposal. The schedule included the initial report on August 11^th followed by a notice of a public hearing to be published on August 18, 2020. The public hearing conference call will be held Monday, September 28, 2020 and the board will have a final discussion and a resolution to adopt any rate modifications which will be held on October 13, 2020. If approved, the rate changes would occur beginning January 1, 2021.

There are several classes of customer including residential, general service small or large and a series of rate adjustments have been outlined for the next five years, until 2025. All of them remain based on a monthly general customer charge, demand charge per kilowatt and energy charge based on per kilowatt hour of use.

The last time residential rates were increased was June 1, 2013 when the customer charge was $12.00 and the energy charge per kilowatt hour was $0.1230. The proposed rate increase from 2021 to 2025 for residential customers is as follows:

In other action, the board approved $1,012,496.29 in purchase orders out of $1,027,872.10. This included a July purchase power estimate from ARPA of the above mentioned $1,012,496.29. The board also approved monthly bills of $190,736.96.

Hourieh also noted that Arkansas River Power Authority, ARPA, had found a buyer for the Merc 50 Solar Turbine. The five megawatt power unit is being purchase by Quantum Power Incorporated and the dismantling will be handled by a sub-contractor.

By Russ Baldwin