Rate hike proposed for REU customers

May 14, 2015 2:03 PM by News Staff

The Redding Electric Utility announced Wednesday they plan to raise rates for residential and commercial customers, and officials say solar panels are partially to blame.

During a press conference Wednesday, the utility said solar customers aren't paying their fair share, so the company wants to raise the network fee for everyone.

The proposed changes would raise charges from $13 to $42 and the energy charge would drop from 15 cents per kilowatt hour to 12 cents per kilowatt hour.

The utility says solar customers, and a spike in technology to reduce electricity and energy bills is threatening business.

REU has roughly 44,000 customers, almost 300 of which have solar panels. Customers who don't have solar panels say the utility needs to charge solar customers for what they aren't paying, instead of proposing hikes all across the board.

Local solar companies say business is booming, Revolve Solar Sales Manager Micah Manly says his clients saved up to 50 percent on their electric and energy bills, and once they've paid off the panels they would pay a connection fee from their utility.

REU will present the rate hikes before the city council in June and a public hearing is set for August 18.

You can see the full proposal here.


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