KUA Board Approves Credit for Small Businesses

Placeholder image

KISSIMMEE, Fla., November 11, 2009 – At a special meeting held Wednesday morning, the Kissimmee Utility Authority (KUA) board of directors voted to apply a credit to the account of each small business customer with consumption in excess of 1,500 kilowatt-hour that was subject to the 2.9 percent rate increase put into effect by the board on November 1, 2009.

The credit will be calculated and applied as soon as the rate increase is rescinded at the end of December, assuming the utility board takes this action at its regularly scheduled meeting and public hearing currently scheduled for December 9.

Background
Originally designed to provide rate relief and reward energy conservation, a conservation rate for small businesses was approved by the utility board on Oct. 7. The rate lowered by 10 percent the energy costs of small businesses which use 1,500 kilowatt-hours (kWh) or less per month and raised by 2.9 percent the rate for the remaining businesses that use more than 1,500 kWh. Because of falling fuel costs and concern that the new electric rate unfairly penalized some customers, the board on Nov. 4 authorized a rollback of the conservation rate. The utility will hold a public hearing at its December 9 meeting and has notified the Florida Public Service Commission of its intent to rescind the rate. The proposed rate change would take effect on Jan. 1, 2010.

Founded in 1901, KUA (www.kua.com) is Florida’s sixth largest community-owned utility providing electric and telecommunication services to 62,000 customers in Osceola County, Fla.

# # #

Chris M. Gent
(407) 933-9836
cgent@kua.com