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Ocala Electric Utility Rate Increase Effective Oct. 1, 2018

Post Date:09/17/2018 9:28 AM

OCALA, Fla. (Sept. 17, 2018) – Effective Oct. 1, 2018, Ocala Electric Utility (OEU) will implement rate changes affecting both residential and commercial customers. 

These rate changes will be phased in over a three-year period beginning Oct. 1, 2018 with a 3.5 percent increase for residential customers and 1.5 percent for commercial customers. Additional increases of 3.5% residentially and 1.5% commercially will take place annually Oct. 1, 2019 and on Oct. 1, 2020.

The 3.5 percent residential rate increase is approximately $4.56 per month for a residential customer consuming 1,000 kilowatt hours (kWh). This will be $3.67 increase in the customer charge and $0.90 in the energy charge. The total rate increase over this three-year period will be approximately 10.7 percent for residential customers and 4.7 percent for commercial customers. According to staff, with this increase, OEU’s rates are still in the middle one-third of all utilities in Florida.

The Ocala City Council held a publicly advertised workshop Monday, Aug. 6 where an electric rate study was presented to council members for discussion and public comment. These rate increases were presented to the Ocala City Council during its regular meeting Tuesday, Sept. 11 where council members voted to adopt the new rates effective Oct. 1, 2018. OEU has not implemented a base rate change since 2012.

“Throughout the electric industry, costs have continued to rise,” said Mike Poucher, Director, Ocala Electric Utility. “As Ocala Electric Utility continues to improve its reliability and commitment to excellent customer service, we are making every effort to minimize rising operational costs of our business. OEU has intentionally maintained its rates, in part, because of the economic recession and its effects on our community. However, as the cost of goods and services continues to rise, the upcoming rate adjustments will help ensure the continued reliable energy delivery that our community depends upon.”

For more information, please contact Ocala Electric Utility at 352-629-2489.