In a move aimed at easing the current financial burden of some of its residents, the City of Mount Dora Electric Utility Department announced plans to lower monthly electric bills early for city customers during the novel coronavirus pandemic. Due to lower fuel costs, the City was able to pass the savings on to customers sooner by reducing their rates now.
The savings start today and decrease the monthly electric bill between 7.9% and 10.7% depending on usage. As an example, the typical residential customer using 1,000 kWh per month would see a decrease of 10% on their next bill.
“I am very glad that the Electric Department can help out our customers when they need it most. Now that fuel prices are low, we felt it was important to go ahead and reduce the rates now as opposed to waiting until later,” said Electric Utility Director Steven Langley.
The Power Cost Charge (PCC) is a separate charge on the customers’ electric bills which recovers the actual cost of wholesale power that the city purchases from Duke Energy. The PCC is normally calculated for April 1 and October 1 and is applied to the following six-month period. According to the City, it does not make a profit on the PCC. It's simply a billing mechanism to pass along actual power costs to the city's electric customers, so when wholesale rates go down, the customers' rates will also decrease. Commercial customers will receive decreases ranging from 9.8% to 13.8%, depending on usage.
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