FOR IMMEDIATE RELEASE
Contact: Melissa Krause
Chief Communications and Strategy Officer
830.629.8440 | firstname.lastname@example.org
(New Braunfels, TX – July 29, 2022) – New Braunfels Utilities (NBU) understands July bills, and the current heat wave and drought have created a great deal of anxiety for our customers. It is our mission to be a trusted community partner. In that spirit, we are working to reduce power costs by initiating interim reductions in the Power Cost Recovery Adjustment (PCRA) for August and September while electric usage is high. Effective August 1 through September 30, 2022, NBU customers will see a reduction of $0.021 per kWh in the PCRA portion of their bill; overall that represents an 11.95% reduction to the electric portion of the bill. This reduction will delay the collection of Winter Storm Uri’s recovery, which currently represents 28% of the PCRA. The remaining portion, 72%, of the PCRA is due to energy market volatility. Though this interim adjustment in the PCRA will not eliminate the PCRA line item on customer bills, it will reduce bills during the hot summer months and this current heat wave. The Winter Storm Uri recovery will still need to be collected, but the adjustment to the PCRA will allow costs to be spread out over the fall and winter when temperatures are expected to be cooler and electric usage decreases.
Also, as a reminder, NBU will enter the third year of its three-year rate plan on Monday, August 1, 2022.
New Braunfels Utilities’ rate increases, for most customers, will be recognized on bills arriving in September. The New Braunfels City Council approved the three-year rate plan in October 2020, with a November 1, 2020, effective date for the first year.
Combined, the Electric Delivered Power and Electric Availability Charge will increase by 10.0%.
The average electric bill includes Purchased Power, PCRA, Delivered Power, and Electric Availability Charge costs. Energy market volatility continues to have significant impacts on the PCRA charge. Water rates will increase by 8.0% overall, and the Water Supply Fee will increase by $0.30 to $2.79 per 1,000 gallons. Residential customers whose monthly water usage remains at 7,500 gallons or less will not be charged a water supply fee. Wastewater rates will increase by 13.0%. The water and wastewater bill includes Water Usage, Supply, and Availability charges. For the average customer with electric (1,400 kWh), water (6,500 gallons), and wastewater (3,300 gallons) services, the combined rate increase due to changes in rates (and excluding variable market adjustments reflected in the PCRA) is 5.99% or an increase of $11.59.
As NBU enters year three of its three-year rate plan, these rate increases remain essential to meet the capital improvement requirements to make significant upgrades to New Braunfels’ aging electric, water, and wastewater infrastructure, add capacity to meet growth and regulatory requirements, and secure new water sources to ensure resiliency and sustainability. The NBU FY 2023 five-year operating plan includes more than $871 million in capital improvement projects. These improvements will ensure NBU is well prepared to meet our customers’ electric, water, and wastewater needs for decades to come. There are 153 capital improvement projects in progress or being planned.
To review details and see the actual costs of the rate increases effective August 1, 2022, visit nbutexas.com/rate-change. Customers can view the rate breakdown, which includes the PCRA at nbutexas.com/rate-breakdown.
To help manage the costs of your bill, a comprehensive list of tools and rebates is available by visiting www.nbutexas.com/conservation or calling 830.629.8400 and speaking to one of our customer service representatives. New Braunfels Utilities is committed to its customers, and we are here to help through this difficult time. Our Customer Service representatives are prepared to visit one-on-one with our customers and address their needs. Call volume may be high, so we ask for your understanding and patience. Additionally, customers can call Conservation and Customer Solutions at 830.629.8925 to schedule a personal consultation or assessment. For NBU customers needing financial assistance, the New Braunfels Food Bank manages the NBU Bill Payment Assistance Program, and more information on the program is available at nbutexas.com.
About New Braunfels Utilities:
Dedicated to excellence in service, New Braunfels Utilities (NBU) was established in 1942 and is one of 2,000 community-owned, nonprofit public power electric utilities in the nation. The mission of NBU is to enhance the quality of our community by providing innovative, essential services. Governed by a Board of Trustees comprised of local residents appointed by the New Braunfels City Council, NBU is committed to being a recognized and trusted community partner, providing essential electric, water, and wastewater services. Utility revenue is invested back into the utility systems, which benefits the community. New Braunfels Utilities makes an annual transfer to the City of New Braunfels, which in turn helps to pay for services such as fire, police, and parks. Additionally, in 2016, NBU repurposed its former16-acre warehouse site to become the Headwaters at the Comal, to serve as its conservation legacy, which will strengthen the relationship between the community and nature by showcasing the significance of the Comal Springs. Follow NBU on Facebook at facebook.com/newbraunfelsutilities, on Twitter at @nbutexas, and learn more, visit nbutexas.com.