Turlock Irrigation District’s domestic electricity customers will pay more for power over the next three years, beginning on Jan. 1.
TID will increase its rate by 5.6% starting Wednesday, with another 5.6% increase going into effect a year later. A 5.5% increase would go into effect Jan. 1, 2027. Overall, the average domestic electric bill will rise about $25, to about $170 per month.
The TID board voted 4-0 last month to approve the increases. Outgoing director Rob Santos was not present at the meeting, though incoming director Becky Hackler Arellano, now since sworn into office, voiced her support of the increases during the public-comment portion of the meeting.
It’s the first rate increase for TID customers since Jan. 15, 2015.
“After careful consideration and a thorough review of the increased costs necessary to provide reliable essential services, support the increase of load in our service territory, and to meet the state’s climate mandates, Turlock Irrigation District has increased rates for the first time in 10 years,” TID said on its website. “Rather than recommend one large increase, TID's board of directors approved incorporating the total necessary increase over the next three years. TID has 27 different rate types or tariffs. Each rate type was evaluated based on the cost to provide service to that group and each will be effected differently by the rate update.”
TID customers pay 16 cents per kilowatt hour, which includes standard fees and surcharges. That rate will rise to 16.9, 17.9, and 18.9 cents over the next three years. Currently, Sacramento Municipal Utility District’s rate stands at 19 cents per kilowatt hour, while Merced Irrigation District is at 22.2 cents, and Modesto Irrigation District is at 22.7. Pacific Gas and Electric’s rate is nearly double Merced and Modesto’s, at 43.6 cents per kWh.
Nearly 42 percent of TID’s annual budget goes toward power supply, while almost 24 percent is earmarked for capital projects. Another 12 percent goes to bond debt service, with 10 percent going to energy and water delivery operations. The remainder goes to operations and maintenance, planning and engineering, and technology.
TID owns and operates an integrated electric generation, transmission, and distribution system that provides electricity to nearly a quarter million people. Scheduled projects include:
• TID’s Don Pedro Life Extension Project is expected to increase generation capacity by 30 percent and extend production life another 50 years.
• The purchase of land to build two new substations and increase transformer size at multiple existing substations.
• Phase-in the transition of TID’s 183 truck fleet to zero-emission medium-and-heavy duty vehicles at a cost of almost double the price for a combustion engine vehicle. State legislation requires TID to be 100 percent carbon-free by 2045.
TID’s vote to increase rates also included more substantial discounts for low-income customers. The monthly discount rate averages $22.61. That will increase to $26.86 beginning Wednesday, $27.51 a year later, and $30 starting in 2027.
Discounts for energy-efficient appliances also will increase.