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Santee Cooper customers might see their bills increase. The co-op is proposing to raise customer rates an average of 10 to 15 percent.
At a public forum in Pawleys Island Thursday evening, Santee Cooper explained the increase to customers, insisting that the rate hike is necessary in avoiding an energy crisis. The non-profit co-op will consider customer input through August, when Santee Cooper will decide whether or not to raise rates. If the rate increase is agreed upon, they'll be phased in over a two year period -- the first increase in November 2009, then again in November of 2010.
Specifically, residential customers would see an average 7.5 percent increase during the first phase, and an additional 7.6 percent increase in November of 2010.
Commercial customers would notice an average increase of 5.6 percent in year one, then an additional 5.3 percent in 2010. Industrial customers would see an average 2.9 percent jump in November of 2009, and an additional 4.9 percent jump in 2010.
"We haven't raised rates in 13 years, but the cost of doing business has gone up in 13 years," said Mollie Gore, a Santee Cooper spokesperson.
Santee Cooper's customer demand is up as well -- up 60 percent in those 13 years, according to the co-op. To meet the demand, Santee Cooper has proposed the rate hike help fund a coal-fired power plant in Florence County.
"When we formulated our generation plan, we looked at all types of generations and concluded that coal is still the most affordable source of electricity," said Gore.
But some argue that the plant itself will be pricier than Santee Cooper admits. The Coastal Conservation League argues that "Santee Cooper's construction costs are unrealistically low and are significantly lower than other experience power plant builders and operators are currently projecting for new coal-fired power plants with similar designs."
Even more, the Coastal Conservation League argues the plant is not needed at all. The group says there are other safer and more efficient options that can meet the area's energy demand.
Nancy Cave, the Northcoast Office Director of the Coastal Conservation League, said those ends can be met by "increasing energy efficiency programs that will decrease energy demand, and increase investment in energy renewables and even in natural gas."
But Gore countered, "The Pee Dee energy campus will have the best available environmental coal technology, and it will be the most efficient coal-fire unit that we have."
But Cave answered back, even with new technology, extremely high levels of toxins will be emitted from the new plant. Cave says those toxins will devastate the environment and human health. She says we can expect to see "significant wetland destruction, water quality issues, the emissions, the CO2, the nitro oxidants, and you have the mercury."
Cave said mercury will make its way into state waterways, while the emissions add up. She's quick to look to the expected new restrictions on toxic emissions, Washington's plan to tax toxins.
"This plant, along with all of Santee Cooper's other coal plants, emit enormous amounts of carbon and there will be a tax -- and who'll be paying for that? Taxpayers -- so, the time is now to reduce dependency on coal and increase efficiency," said Cave.
For more information on the proposed rate increase and how submit questions or comments to Santee Cooper visit the link below.
