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  Rates 2000-2002
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Network, Lighting, Pole Attachment and Duct / Vault Rates
Effective March 1, 2002

Frequently Asked Questions
Q 1 What will happen to City Light rates on March 1, 2002?
A 1 Rates will increase for a limited number of rate classes:

  • Medium Network General Service (Schedule MDD)
  • Large Network General Service (Schedule LGD)
  • Floodlights (Schedule F)
  • Streetlights (Schedule T)
  • Duct, Pole and Vault Rentals
In percentage terms, the increase for the Medium Network class will average 4.1%. Large Network customers will see an average increase of 3.8%. Average floodlight and streetlight rates will increase by about 9%. The increase for duct, pole and vault rentals will average 3.6%.

Q 2 Why are rates increasing for network customers?
A 2  During the review of City Light's electric rates and charges in 1999 a great deal of attention was devoted to the level of service provided in the downtown network and the cost of providing that service. Data on outages indicated that reliability was considerably higher than average in the downtown network. Cost of service analysis showed that the cost of network service was also far above the average cost of providing service outside the network area, since network service involves the installation of additional equipment components to enhance reliability. The City Council therefore decided that it was appropriate to establish a separate, higher rate for Medium and Large General Service customers in the downtown network that reflected the higher cost and higher reliability of service in the network area.

The ordinance which adopted rates for the 1999-2002 period (Ordinance 119747) set rates for network customers that were intended to recognize one-half of the differential between the cost of network service and the cost of service outside the network over the three-year rate period. The rates that took effect on December 24, 1999 recognized one-quarter of the differential. The ordinance also called for a second rate adjustment effective March 1, 2002 to take the next step in bringing network rates closer to the true cost of service. The provision for a second network rate adjustment on March 1, 2002 has been included in the three rate ordinances implementing power cost adjustments in 2001.


Q 3 Why are rates increasing for floodlights, streetlights and rental of poles, ducts and vaults?
A 3  The rate ordinance passed by the Council in November 1999 provided for two increases in rates for streetlights, floodlights and pole, duct and vault rentals to reflect increases in the cost of service. The first increase took effect on December 24, 1999. Rates for these classes have not changed since that date, in spite of the fact that rates for all other rate classes have increased substantially as a result of the power cost adjustments that were implemented in 2001. The second increase in rates for streetlights, floodlights and pole, duct and vault rentals will take place as scheduled on March 1, 2002.

Q 4  What is happening to the rates of the other customer classes?
A 4  Aside from the increases for the rate classes discussed above, the City Council has not taken any further action to change rates from their current levels. City Light will brief the Council in March 2002 on its current financial status and the outlook for the next three years. Decisions on future rate adjustments, if any are required, will follow that review.
 

         Rates Home  |  Current Rates: Map  List
Rates History:  Summary Table   Detail

 

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