MEA board approves 2015 rate increase

MAT-SU — The Matanuska Electric Association Board of Directors voted at its November meeting to approve an increase of 0.81 percent in base rates, effective the first week of January 2015.

For the average MEA member, the increase equals about 63 cents per month for usage of 700 kilowatt-hours.

Utility spokesperson Julie Estey said the 0.81 percent increase is one component in a 15 percent to 20 percent projected increase in rates for 2015.

She said members should expect to see 10 percent to 12 percent of that projected increase reflected in their January 2015 billings. She said the increase reflects the cost of fuel under MEA’s new, higher-priced contracts for Cook Inlet gas.

However, the rate changes are subject to review and approval by the Regulatory Commission of Alaska, which allows MEA and other utilities to file quarterly for limited increases or decreases in base rates, provided that the adjustments stay within certain financial parameters established by the commission.