SDCEA Board Votes to Increase Rates in February 2024

At their November 29 meeting in Silver Cliff, the SDCEA Board of Directors voted to raise rates effective February 1, 2024 – the first general rate increase enacted at the electric cooperative since 2017. Numerous factors contributed to the board approving the recommendation of a general rate increase, including inflation, supply chain challenges, and increased rates from our power supplier.

“After conducting a thorough analysis of our 2024 budgeted costs versus projected revenue for 2024, SDCEA has determined that our current rates are insufficient to meet the debt convenance requirements set by our lender,” said SDCEA Interim CEO Gary Kelly. “It has become evident that we can no longer ignore these impacts and must implement a general rate increase.”

For the average residential consumer, this could result in an approximate monthly bill increase of $5-$9 in 2024. The rate increase will raise the monthly service availability charge for general service residential members from $31.83 per month to $35.01 a month and the energy rate from $0.12944 per kWh to $0.13485.

Current and proposed rate schedules are posted for review on the SDCEA website. A legal notice will appear in area newspapers no less than 30 days before enactment for public comment.

“SDCEA plans to review rates annually. While we cannot predict the future, we can assure you that any decisions about rate adjustments will be made with the utmost care, considering our mission to provide reliable and affordable electricity to our members,” SDCEA Interim CEO Gary Kelly said.

For more information about the rate increase, please click here. The information in the FAQ section will be updated regularly.