Sangre Electric
Meeting in Silver Cliff
Rate Increases Main Topic

Sangre de Cristo Electric Association

(Meeting registration info at the bottom.)

SDCEA is set to consider a general rate increase at its November 29 meeting in Silver Cliff. For nearly seven years, SDCEA has not implemented a general rate increase, despite facing mounting operational costs. These costs include rising prices for materials, supplies, fuel and labor.
“We have tried to minimize expenses to keep our costs down, but we must now address this financial strain,” said SDCEA Interim CEO, Gary Kelly.
“We are facing a persistent inflationary environment, supply chain disruptions, and our wholesale power supplier is also raising rates due to inflationary costs,” said Kelly. “We also must make ongoing investments in the infrastructure of our electric system for safety and reliability.”
“In 2021, the electric industry experienced about a 14 percent inflation rate increase on all the material SDCEA purchases. In 2022, the inflation rate increased even more, and we experienced an additional 18 percent cost inflation on material. So, in two short years, the costs of all the material we use to build and maintain the electric system has increased by 32 percent on average. While inflation has slowed in 2023, we expect to end the year with an 8 percent material cost increase. That represents a 40 percent increase in material costs from 2020,” Kelly said.
A public meeting was held in Buena Vista on November 8th to discuss a proposed SDCEA rate increase. For the average residential consumer, this could result in an approximate monthly bill increase of $5-$13. The proposed rate increase will be discussed at the November 29 board meeting in Silver Cliff, and a decision by the SDCEA Board of Directors on implementation will likely be made at that time. If approved as currently proposed, the rate increase would go into effect February 1, 2024.
“SDCEA is also committed to providing transparency and open communication with its members,” Kelly said. The organization will be providing updates on the rate increase process and is available to answer any questions or concerns. Please visit an FAQ section on the homepage at myelectric.coop or call 844-395-2412 with any questions. Anyone who would like to submit comments on the proposal, please email sdcearates@myelectric.coop.
To register to attend the November 29 meeting in person or remotely contact SDCEA at (719) 395-2412 or info@myelectric.coop no later than 3 p.m. on November 28, 2023. Online registration must be completed no later than 4 p.m. on November 28, 2023.