After two years of a zeroed-out power supply cost adjustment (PSCA), with the approval of the FY2023 budget, Grand Haven BLP will reimplement the PSCA charge for all rate categories starting September 1, 2022. This reimplemented charge will affect all rate categories and recover a portion of the significant wholesale energy market price escalations that we as a utility have absorbed during the transition away from Sims. The BLP will determine the PSCA monthly using a 12-month rolling average calculation of the actual cost of our power supply cost above a preset “base.”
Understanding Your Energy Rates
Kilowatt Hour (kWh) is the basic unit of energy by which the BLP meters and bills for electricity are supplied to customers. An average residential customer uses about 608 kilowatt hours monthly.
The Monthly Service Charge is a fixed charge billed to each customer to recover BLP costs that do not vary with the amount of electricity used. Such costs include billing, metering, administrative, and certain distribution system related expenses.
The Energy Charge recovers costs incurred by the BLP that generally vary with the amount of electricity the customer uses each month. Such costs include wholesale power purchases.
The Power Supply Cost Adjustment (PSCA) increases or decreases the Energy Charge to recover variations in the actual costs of wholesale power above or below the base cost.
The Demand Charge is assessed only to larger commercial and industrial customers. It is charged in proportion to each customer’s maximum “peak” demand (highest electrical demand in a 15-minute interval) during the billing period.