‘Power Week’ offers chance to learn about utility rates

Published 3:00 am Tuesday, October 4, 2016

This week is national “Public Power Week,” which recognizes consumer-owned power companies such as municipal utility companies and electric co-ops.

Both Troy and Brundidge run public utility companies.

Brian Chandler, general manager of utilities for the City of Troy, explained the difference between private and public utility companies.

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“A public power company allows users to have a vote and voice in the power company as opposed to companies owned by stockholders,” Chandler said.

Another benefit of having a public utility company compared to other options, Chandler said, is that public companies such as Troy Utilities are local.

“We’re smaller and based in the are we serve,” Chandler said. “Our employees work and live in the area they serve.”

Troy Utilities charges a base monthly rate of $9.00 and 8.82 cents per kilowatt-hour.

Compared to Alabama Power, where Troy gets its power, Troy Utilities has a $5.50 cheaper basic monthly charge and charges .013 less per kilowatt-hour. Contracts with the company allow Troy to lock in cheaper rates.

Alabama Power charges a standard base rate of $14.50 per month and 9.05 cents per kilowatt-hour. In June through September, any kilowatt-hours used over 1,000 cost 9.3 cents. In October through May, the charge for kilowatt-hours after using 750 kilowatt-hours drops to 7.85 cents.

So in the summer months, residents using over 1,000 kilowatt-hours with Alabama Power would have bills increasingly more expensive than Troy residents using the same amount of hours.

During the other eight months, residents using over 750 kilowatt-hours would have bills increasingly cheaper than Troy Residents using the same amount of power.

Brundidge has a base charge of $24 and 8.25 cents per kilowatt-hour.

If a Brundidge resident uses 1,000 kilowatt-hours of electricity in a month, the bill would come in at $106.50 before tax. A Troy resident would pay $97.20 for the same amount of usage.