Beginning in January, you will see some changes to your SMUD bill. The changes are more than cosmetic. They implement changes to our rates and charges that were approved by SMUD's Board of Directors in August 2011 after a lengthy public outreach. This does not increase revenues to SMUD.
The changes that you will see depend on the type of customer you are. Residential customers will see some relatively small differences while small commercial customers will see more significant changes. Large commercial customers will see no difference in their rates and charges. All customers will see new Clear TermsSM on your bill that will make it easier to understand what you are paying for and why.
The links below discuss the highlights for the different types of customers:
Electricity rates will be lowered year-round to help offset a slight increase in the monthly service charge. The number of months for higher summer rates will be shortened. Learn more.
Residential electric space heat customers
The length and number of seasons are changing as is the amount of electricity considered to be "Base Usage." Learn more.
Very small commercial customers
New summer peak pricing will be introduced and electrical demand will be measured for the first time. In addition, the former tier pricing is eliminated and the monthly service charge will increase slightly. You are a very small commercial customer if you are on the GSN or GSN_T rate. Learn more.
Small commercial customers
New summer peak pricing will be introduced and the demand charge will now apply to all kilowatts of usage; the first 20 kilowatts are no longer exempt from charge. The former tier pricing is eliminated and the monthly service charge will increase slightly. You are a small commercial customer if you are on the GSS or GSS_T rate. Learn more.
Why were these changes made?
We want our rates and charges to better align with the costs they are meant to reflect, including the cost of electricity when it is used and the cost of maintaining the system infrastructure that makes it possible to deliver electricity to you.
In addition to power from our own generating plants, SMUD must also buy power to meet the needs of our community on hot summer afternoons. And this power costs many times more than power purchased on a mild fall day.
Under the new rates, you will pay lower rates for most of the year and higher rates during summer afternoons when it costs SMUD more to supply power.
The changes were not made to increase revenue to SMUD and, on the whole, they don't.
Making your bill easier to understand
New Clear TermsSM are being introduced to make it easier to understand what you are paying for and why.
|Clear TermsSM||Replaces||Applies to|
|System Infrastructure Fixed Charge||Service Charge||All customers|
|Electricity Usage||Energy Charge||All customers|
|Base Usage||Tier 1||Residential customers|
|Base-Plus Usage||Tier 2||Residential customers|
|Site Infrastructure Charge||Facilities Charge||Commercial customers with more than 20 kilowatts of demand per month|
|Maximum Demand Charge||Demand Charge||Commercial customers with demand between 300 and 999 kilowatts per month|