December 30th, 2021
FEM Electric Members,
At the December FEM Electric board meeting, management presented several options to the board for FEM Electric to meet our financial ratios moving forward, to our lending institutions. The board approved increasing our monthly facility charge from $57.00 per month to $62.00 per month and increasing the kwh charges by $0.005. This rate change will begin February 1st, 2022.
Electrical rates can be complicated or simple and we believe in keeping rates simple, which helps with transparency and no hidden charges. About every four years, FEM does an electric rate study to determine if we are treating all rates fair and equal. The last rate study showed we should be collecting around $86.00 per month from each meter. We can accomplish this if there is kwh being used, but when electric service is available with little to no usage, we must collect to cover the cost to build and maintain our infrastructure. I hope this explains why the facility charge is important to keeping our electrical rate fair to all members.
FEM Electric is a unique electric cooperative within the East River group. We had the seventh largest kwh sale at 172,116,349 kwh out of twenty-one East River members. Out of the twenty-one East River members, we were number fifteen in number of meters at 2106 meters. FEM holds the distinction of .964 meters per mile of line, the lowest number of meters per line in the nation, within the cooperative family.
With one of the newest electrical infrastructures in the state, your FEM Electric employees and board are committed and continue to strive at providing safe, reliable, and affordable power to our members. FEM Electric is committed to help keeping our rural economy strong.
If you have any questions, please call 605-426-6891 and ask for Scott Moore, Rhonda Tuscherer, or Rob Vetch.
FEM Electric Manager/CEO