x
Breaking News
More () »

New Braunfels Utilities offers discount on power bills along with a rate hike

There is one charge causing a lot of concern. Customers will get a small discount for two months, but also a rate hike.

NEW BRAUNFELS, Texas — New Braunfels’ homeowner Alexandria Stephenson said opening her her $395 power bill was an eye-popping, heart-stopping experience.

“Huge sticker shock,” she said. “It was definitely something that no homeowner wants to see.”

Others in New Braunfels are seeing even bigger power bills: $500, $600, and $700 bills. Stephenson said she keeps her home at 77 degrees and still her power bill keeps rising.  

“If anything, I’ve taken more conservative measures to make sure we’re not using power during peak hours, making sure that we’re keeping the lights off as much as possible,” she said. “We’re doing everything we can to keep the blinds closed. We raised our thermostats.”

She has three small children. She said she spends most of her days at home with them because it is too hot to go outside.

“I’m not one of those families that leave their house all day long,” Stephenson said. “We’re actually here. Water gets used, and electricity gets used. We need to cook food.”

It is the Power Cost Recovery Adjustment or the PCRA charge that is of concern. Sometimes it is more than double the cost of power usage. New Braunfels Utilities said that cost includes two charges, the cost of natural gas to run power plants and a fee to recover costs from the February 2021 winter storm. Those costs have no markup.

“It’s a pure pass-through,” said Ian Taylor, CEO of New Braunfels Utilities. “There is no profit on that part of the bill.”

Yet, the high bills are hitting at a time when budgets are already stretched thin from inflation.

“I think the hardest part to accept is to know that there are families out there right now having to choose between whether they pay their power bill or buy groceries,” Stephenson said.

Taylor there are three reasons why electricity bills are so expensive this summer. First, the cost of natural gas has climbed. Second, everyone is paying more for power reliability measures after the February 2021 blackout. Third, it has been hotter for longer this summer, so people are using more power running their air conditioners.

“I can’t think of a time when we’ve had three months in a row in the summer where every month was a record for heat,” Taylor said. “It’s just been difficult this summer and remarkable. I don’t know where August is going to land, but it’s hot right now.”

Taylor said New Braunfels Utilities is taking several actions to help customers including:

  •  waiving late fees
  • not disconnecting power
  • offering high bill alerts
  • offering payment plans
  • offering assistance program for those that need help paying their bills
  • offering energy and water assessments so customers can find ways to cut their usage
  • discounting power bills for August and September

The average customer will have around $37 taken off their power bill for two months. The utility is cutting bills in the only place it can. It will stop collecting the 2021 winter storm recovery fee. The fee will be charged again starting in October, when bills are expected to go down because cooler weather will mean less power used for air conditions.

Yet, a planned rate increase across all utilities including power, water, and sewer will add about $11 to customers’ bills, so the total savings will be about $26, each month for two months.

Still, Stephenson said even with the discount, she is sweating her next bill.

“I’m very worried that it’s going to come out to even more next month,” she said. “I have no doubt that it probably will.”

Steep power bills are expected to scorch wallets until the weather cools.

New Braunfels Utilities said to reach out if you need help paying your bill because it wants to work with customers. 

The utility will be giving a presentation on high power bills Monday, August 8 at the city council meeting at 6 p.m. You can watch the meeting on Spectrum Cable on Channel 21, AT&T UVerse on Channel 99 or online.

Before You Leave, Check This Out