The Austin Utilities Board of Commissioners approved the 2023 Austin Utilities budget and related rate adjustments at the December board meeting.
Electric rates will see a 7% increase across all rate classes. The average residential customer will see an increase of $5.05 per month, small to mid-sized business customers can expect to see monthly increases in the range of $9.69 to $172.80 depending on the size of their meter and usage.
Water rates will increase by 9% for all customer classes. The average residential water customer will see a bill increase of $3.06 per month.
“We anticipate increases will range from 9-12%,” the Utility said in a press release. “The average residential natural gas customer will see a bill increase of $4.25-$14.38 per month. Small to mid-sized business customers can expect to see monthly increases in the range of $16 to $639.38 depending on the size of their meter and usage.”
The annual budget is used to set rates along with Cost of Service and Rate Study’s performed every few years. Costs of providing energy have gone up dramatically over the last few years. Reasons behind these increases include increased cost of material, increases in natural gas commodity, increases in pipeline transportation and issues related to the war on Ukraine.
“Our team is constantly looking for ways to manage these costs, however the cost of the actual commodity we purchase to deliver to customers is very volatile. Increases in natural gas are impacting our rates as more energy is generated using natural gas as coal power plants are decommissioned,” says AU General Manager Mark Nibaur.
AU customer service representatives can provide resources to customers who anticipate having difficulties with winter heating bills. Austin Utilities continues to offer ways for customers to save on energy costs and ensure energy dollars are spent wisely. Their Conserve & Save® rebate program offers a full range of rebates on equipment designed to help customers reduce their energy bills. Customers may also be eligible for budget billing which allows for even payments each month. You can contact Austin Utilities at (507) 433-8886 for more information.