Beginning this month, Jones-Onslow will see an increase in its wholesale power costs stemming from the costs Duke Energy must pay to comply with state law and federal regulations regarding the management of coal ash.
While JOEMC does not own any coal-fired plants, some of our electricity is purchased through contracts our power provider, the North Carolina Electric Membership Corporation (NCEMC) has with Duke Energy. A portion of that purchased power does come from coal-fired plants.
The expenses incurred by Duke Energy to comply with these new laws
and regulations are being passed down through wholesale customers such as NCEMC (our power provider) as well as Duke’s own customers. In 2018, our wholesale cost of power will be almost $7,000,000 higher than normal because of this issue.
When we learned of this extra expense earlier in the year, we knew we needed to do anything we could to NOT pass this When we learned about this additional expense earlier in 2017, we knew steps must be taken to NOT pass these extra costs on to our members. The decision was made to deferred some credits from our power supplier (that were made available to us in 2017) into 2018, helping offset the increase. In addition, we will defer part of our operating revenue from 2017 into 2018. These two actions will allow us to absorb the $7 million increase without raising electric rates to our members this year.
We also continue in our efforts day in and day out, to work and implement operational efficiencies whenever possible. By doing this, we can provide you with the best value for your dollar while maintaining the level of safe, reliable, and affordable electricity that our members have come to expect.
We know that we must be diligent in our efforts and continue to look for these efficiencies and look at various system improvements that will help offset increased costs in the future. These include:
- Making existing equipment more efficient;
- Implementing safeguards to protect the electric system from cybersecurity threats;
- Better integrating resources that produce their own power, like solar panels and generators, into our system; and Providing services that give you better control and
management of your home energy use.
We encourage you to visit joemc.com or call us at (910) 353-1940 or (800) 682-1515 to learn about programs and tools that can help you manage your energy use and save money.
We put you, our members, first and as a not-for-profit cooperative we work to keep expenses as low as possible. Our top priority is providing you safe, reliable, affordable and environmentally responsible power, while also supporting the communities we serve. That’s the cooperative difference.