For the past two city council meetings, citizens have come forward with concerns over their utility bills with the Public Service Commission. Energy cost adjustments have resulted in higher bills during the summer months, and some local assistance programs have tapped out their funds to help alleviate that cost.
Richie Moore, general manager of the Public Service Commission, said utility costs are being greatly affected with energy cost adjustments and increased consumption.
“I understand the frustration,” Moore said. “But unfortunately, over the last two years we have been able to absorb that cost. The customers haven’t seen it. The only unfortunate thing about absorbing the cost for over two years, the one year that we can’t do it is overwhelming.”
Since June of 2020, the change in energy costs have increased by 192 percent, Moore said.
The Public Service Commission has traditionally joined with Clarksdale Public Utilities to purchase power in an effort to get a reduced amount.
In June of 2020, it cost PSC and CPU about $647,000 to purchase about 17 million kilowatt-hours. In June of 2021, roughly the same amount of KWH increased to about $1.2 million dollars. However, this June saw a tremendous increase with about 19 million KWH costing about $2 million dollars.
“In June of 2021, PSC absorbed most of the increase due to us financially planning and having reserves,” Moore said. “It did not have to be passed onto the customers until about November of 2021. But now, with the consumption and energy cost adjustments, it is just like everything else…the price is increasing.”
One PSC customer appeared before the Board of Mayor and Aldermen during a July board meeting. She said her utility bill has more than doubled over the last two months.
“I understand everything is going up,” she said. “But how do you go from $130 to $400 the next month? This month we received one for $500. That seems outrageous to me.”
Another PSC customer appeared before city leaders this week stating that her bill is $200 more than what she normally receives during the summer months.
“I understand bills go up,” she said. “But I am not use to a $213 increase at one time. Social Security or pensions do not pay me that kind of money to absorb a $213 increase on a fixed income.”
Mayor David Starling said he has been in communication with Moore and the PSC.
“For the past two years, PSC has actually ‘ate’ the cost that is now being passed onto the consumer,” Starling said. “As you are aware, we buy our electricity from a third party. We are in the peak months. The months of June, July and August, we can expect and see a higher bill. In addition to these being the peak months, what we didn’t see on the bills prior to this year, PSC was actually handling that increase on their own. They are not able to do that this year.”
A PSC customer said she recently reached out to WWISCAA for utility assistance.
“You can’t go to WWISCAA because they said they are out of funds,” she said.
However, there are other resources that customers can contact for assistance. However, it is up to the customer to handle the necessary paperwork and procedures that come with applying for potential assistance.
The Rental Assistance for Mississippians Program, also known as RAMP, can provide up to 15 months of rental and utility assistance to eligible renters via its website at www.ms-rampera.com.
The Low-Income Home Energy Assistance Program, through the Mississippi Department of Human Services, also can assist families with energy costs via its website at www.mdhs.ms.gov/community-services/liheap/. However, individuals must be within 60 percent of the current State Median Income Poverty Guidelines.
Starling said he hopes to see some relief by September.
“Hopefully during the cooler months, we will start to get some relief,” he said.
Moore said he completely understands the concern among PSC customers, adding that it is a situation happening all over the country.
“It is a challenge across the entire utility industry and other industries as well,” Moore said. “And we are being conscious at PSC about how we spend. I assure you, we are as lean as we can be. But you can’t continue to trim any more fat without your reliability suffering.”
