Thursday, October 27, 2011

Welcome to Affordable Energy for Austin

Economic times are bad.  Austin Energy is hitting us with 17 years of increases all at one time.  The staff proposal includes fixed monthly charges of $25 for residential ratepayers, before they use a single watt of power.  In addition, the revenue requirement is overstated and some of its elements defy industry standards.  The rate design puts an unfair burden on residential and small business ratepayers.  Community groups are banding together to demand that Austin Energy go back to the drawing table and reduce the increase by at least 50 percent.

The following groups and individuals are working together to oppose the AE rate proposal:

Public Citizen

Texas ROSE
Austin Tenants Council
Texas Legal Services Center
Sierra Club
Bill Oakey, Consumer Advocate
Paul Robbins, Energy Activist

“Why all of a sudden do they need a 25% residential rate increase?” asks Katherine Stark, executive director of the Austin Tenants Council. Industrial customers get zero rate increase. “Families and small businesses are being asked to pay the biggest increases.”

Austin Energy’s new rate proposal discourages conservation and does not support the clean energy future we anticipate in the Austin Energy Resource, Generation, and Climate Protection Plan. We believe that the rate proposal is upside down and backwards…


¡spɹɐʍʞɔɐq puɐ uʍop ǝpısdn

There is still time to fix this. AE should come back with a totally new proposal that significantly reduces bills for families and small businesses. We are not sure AE needs a rate increase, but if they do we want it to be fair and simple.

The biggest bill increases will hit families and small businesses with:

• An overall increase of 25 percent for residential customers
• Monthly fixed charges of $25 or more.
• A Revenue Requirement for the utility that is much too high
• A cost-of-service allocation model that favors large industrial customers at the expense of residential and small business customers 

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