Full Site View
Quick Links
  My Bulletin
  Contact The Bulletin

Groene at the Legislature: Holding NRDs responsible

Groene, colleagues short-sighted on NRD funds

More opinion

Ag News

NFU urges smooth, transparent transition to Fair Trade framework

New interim executive director named for state brand committee

More Ag News

NorthPlatte Weather

Email Article | Print Article
News - State/Regional News
NPPD: No rate increase in 2014 Tell North Platte what you think

There will be no hike in electric rates of wholesale and retail customers of the Nebraska Public Power District, including North Platte, the board of directors decided Friday.

NPPD President/CEO Pat Pope told the board that a proposed 2-percent rate increase in September has been reduced to zero for the upcoming year. Pope told the board several factors have made this possible, including:

• Statewide efforts by management and employees to reduce costs without compromising reliability or safety.

• Higher than expected summer revenues.

• Reduction of personnel by nearly 50 positions from the District’s annual budget.

• Ongoing efficiency improvements.

“Staff has done an excellent job in reducing unnecessary expenses to get us to the point we will not need an increase,” Pope explained. “In the past, cost pressures have forced us to raise rates. Today, we are in a period where rigorous efforts to reduce expenses, better than anticipated revenues, and slightly less cost pressures are giving NPPD an opportunity to avoid a rate increase.”

Earlier this year, NPPD alerted its wholesale and retail customers it would likely need a projected a 3.5 percent increase. However, cost cutting measures were able to reduce that proposed increase to two percent. Continued efficiencies and a strong financial summer closed the gap to zero.

“The bottom line is we have had a much better year in 2013 than we budgeted, and staff has done an excellent job in scrubbing budgets and reducing costs without compromising reliability and safety," Pope said. "We will be doing everything we can to keep future rate increases to a minimum and help keep public power in Nebraska as competitive as possible.”

As a public power utility, NPPD rates are set to cover costs. Revenues are used to pay operating expenses and make necessary investments in maintenance, construction, and system upgrades. Rates do not include a profit margin, NPPD spokesman Mark Becker said.

NPPD’s wholesale customers include rural public power districts and municipalities such as North Platte that buy their power from NPPD and distribute it to their electric customers.

Retail customers receive an electric bill directly from NPPD.

Like this story to send to your facebook

The North Platte Bulletin - Published 11/9/2013
Copyright © 2013 northplattebulletin.com - All rights reserved.
Flatrock Publishing, Inc. - 1300 E 4th St., Suite F - North Platte, NE 69101
Show me Talk Back during this visit