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6.3. ERMUSR 05-11-2004 Elk River Municipal Utilities 13069 Orono Parkway phone: 763.441.2020 Elk River, MN 55330 Fax.763.441.8099 April 23, 2004 To: Elk River Municipal Utilities Commission Jerry Takle Jim Tralle John Dietz From: Bryan Adams Subject: APPA Rate Comparisons On an annual basis, APPA completes an Electric Rate Comparison. Attached for your review is APPA's electric rate comparisons for year 2002 derived from U.S. Department of Energy form EIA-861, that all electric utilities file on an annual basis. This comparison reflects USA and Minnesota electric utilities. Below is a summary of the data in 0/kWh. RESIDENTIAL COMMERCIAL INDUSTRIAL Elk River Municipal Utilities 6.9 6.8 6.8 U.S. Utilities Minimum 7.6 7.1 4.2 ls` Quartile 7.7 7.15 4.55 Average 8.03 7.37 4.67 3rd Quartile 8.25 7.5 4.9 Maximum 8.7 7.8 4.9 Minnesota Utilities Minimum 6.9 5.7 3.9 1st Quartile 7.25 6 4.1 Average 7.37 6.13 4.37 3rd Quartile 7.6 6.35 4.6 Maximum 7.6 6.4 4.9 RESIDENTIAL COMMERCIAL INDUSTRIAL Minnesota Municipal Utilities Minimum 3.5 0 0 1st Quartile 5.8 5.7 0 Average • 6.73 6.26 3.66 3rd Quartile 7.6 A 7.1 i 5.8 Maximum 16.9 12.6 10.7 Minnesota Investor Owned Minimum 6.5 5.5 0 1st Quartile . 6.6 5.7 3.6 Average 7.92 A 6.86 3.5 3rd Quartile 9.1 7.5 4 Maximum 9.7 9.8 ® 5.9 Minnesota Cooperatives Minimum 5.3 0 0 1st Quartile ` 6.8 5.85 0 Average 7.53 A 6.25 2.91 3rd Quartile 8.1 7.2 ♦ 4.65 Maximum 10.7 8.6 9.6 The triangles in the above chart reflects Elk Rivers position. The conclusions, drawing from this analysis are the same as previous APPA and MMUA rate comparisons. Our residential and commercial rates are competitive. Our industrial (demand) rate is non- competative and we need to keep downward pressure on the demand rate. As you may recall, we raised rates effective January 2004. The demand rate was not raised as much as the residential and commercial rates. This is in our continued response to get our demand rate more competitive. filar American Public Power Association 2301 M Street,N.W. Washington, D.C.20037-1484 202/467-2900 202/467-2910(fax) April 2009 www.APPAret.org MEMORANDUM TO: Officials of Public Power Systems FROM: Scott Choate, Manager of Statistics SUBJECT: 2002 Data on Revenue per Kilowatt-hour As an APPA member service, enclosed is a summary of average revenue per kilowatt-hour for U.S. electric utilities for calendar year 2002. The report contains: I. Definitions of new terminology used to report sales and revenues 2. Summary of Full Service vs. Unbundled (retail choice) Sales • 3. United States averages - by type of ownership State averages (for your state) - by type of ownership Individual averages for each utility in your state • Note that the report showing each utility's average revenue per kilowatt-hour for residential, • commercial, and industrial consumer classes covers full service sales only, so average values for states with retail choice do not include sales to customers that purchase power from alternate energy suppliers. Revenue per kilowatt-hour was calculated by APPA from 2002 data reported by each utility to the U.S. Department of Energy, Energy Information Administration on Form ELA-561. These calculations can help you compare your average rate level with other utilities in your state. If you would like an electronic version of the file for all states, or if you have any questions, contact me at (202) 467-2969 or schoate @appanet.org. Enclosure • • Explanation of New Terminology for Sales and Revenue Data Changes in the electric utility industry and to the Energy Information Administration's (ETA) data collection process have resulted in some new terminology. Below is an explanation of the new terminology used by ETA for sales and revenues reported by U.S. electric utilities. Full Service Sales — (also referred to as "bundled" sales) are sales by a utility to a customer where the utility provides both the energy and the delivery service. Note that a utility can provide energy either by generating power or by purchasing wholesale power to sell to its customers. These full service sales occur in states that have not enacted retail choice as well as in retail choice states when the customer elects to remain with the standard provider for both energy and delivery service. Energy Only Sales — in retail choice states, this is the power supply portion of the customer's bill if the customer chooses a supplier that is not the standard provider for its service territory. Delivery Only Sales — in retail choice states, this is the distribution portion of the customer's bill if the customer chooses a supplier that is not the standard provider for its service territory. (When a customer in a retail choice state elects to receive energy service from a provider other than the local utility, then the local utility providing the delivery service records the sale as a "delivery only" sale.) Unbundled Sales — the sum of the delivery only sales and the energy only sales. Since the energy service suppliers are required to report their sales to customers grouped by the state where the customers reside, unbundled sales can only be summed on a state or national level. The methodology used by the Energy Information Administration is: Delivery Only Revenue + Energy Only Revenue Energy Only Sales (Mwh) Other notes on the data: In theory, the "Delivery Only" MWH sales and the "Energy Only" MWH sales should be equal in every state. However, that is not true in any state for the 2002 data. In fact, many states have large differences in the Energy Only MWH sales and the Delivery Only MWH sales. The likely reason for this is reporting errors or incomplete data. Until there is consistency in the reporting of sales and revenues, analysis of the impact of retail choice is extremely difficult. Full Service Sales vs. Unbundled (retail choice) Sales Residential Commercial Industrial Rev/kWh Rem/kWh Rev/kWh All U.S. Customers • Full Service Sales 8.3 7.6 9.7 Unbundled Sales 12.8 10.1 8.3 Total: All Customers 8.5 7.9 4.9 By State • California Full Service Sales 12.6 19.1 10.] Unbundled Sales 13.8 11.5 13.9 Connecticut Full Service Sales 11.0 9.3 7.7 Unbundled Sales 10.9 n/a 7.2 Delaware Full Service Sales 8.7 7.2 5.2 Unbundled Sales n/a 9.1 9.5 Illinois Full Service Sales 8.9 7.9 4.7 Unbundled Sales n/a 8.0 6.1 Maine Full Service Sales 13.0 12.6 6.7 Unbundled Sales 11.9 10.3 14.2 Maryland Full Service Sales 7.7 6.9 3.5 • Unbundled Sales 7.1 5.3 20.9 Massachusetts Full Service Sales 10.9 10.2 8.6 Unbundled Sales 29.0 9.9 9.5 Michigan Full Service Sales 8.3 7.5 5.0 Unbundled Sales n/a 5.7 4.6 Montana Full Service Sales 7.2 6.5 3.9 Unbundled Sales 22.7 7.3 3.5 New Hampshire Full Service Sales 11.8 10.] 8.9 • Unbundled Sales 10.2 12.6 6.9 New Jersey Full Service Sales 10.9 8.9 7.7 • Unbundled Sales 9.6 6.7 17.1 New York Full Service Sales 13.5 12.] 9.6 Unbundled Sales 15.9 13.8 9.8 • Ohio Full Service Sales 8.0 7.6 9.6 Unbundled Sales 10.9 7.9 9.9 Residential Commercial Industrial Rev/kWh Rev/kWh Rev/kWh Pennsylvania Full Service Sales 9.6 8.2 6.0 Unbundled Sales 11.8 7.1 6.8 Rhode Island Full Service Sales 10.2 8.7 7.8 Unbundled Sales n/a 10.1 8.7 Texas * (see note at bottom) Virginia Full Service Sales 7.8 5.9 4.1 Unbundled Sales 8.0 7.0 n/a Washington, DC Full Service Sales 8.0 7.5 5.0 Unbundled Sales 6.7 7.3 n/a ' Note: While Texas is a retail choice state, total sales are reported by retail electric providers, who do not differentiate between Full Service and Unbundled Sales. Average Revenue per kWh, 2002 (in cents) United States and Minnesota Residential Commercial Industrial Rev/kWh Rev/k\1th Rev/kWh U,S. Utilities • Publicly Owned 7.6 7.2 9.9 Investor-Owned 8.7 7.8 9.9 Cooperative 7.8 7.1 9.2 Mintiest/4a Publicly Owned 6.9 6.9 9.9 Investor-Owned 7.6 5.7 3.9 Cooperative 7.6 6.3 9.3 Minnesota Publicly Owned Ada Water & Light Department 5.7 7.2 3.8 Adrian Public Utilities Commission 6.2 8.9 6.9 Aitkin Public Utilities Commission 5.5 7.1 6.9 Alexandria Board of Public Works 6.5 5.3 9.5 Alpha, City of 7.9 6.9 0.0 Alvarado, City of 6.8 6.6 0.0 Anoka, City of 7.8 6.6 5.1 Arlington, City of 7.4 7.9 0.0 Austin Utilities 8.3 6.9 4.6 Bagley Public Utilities 4.9 9.5 5.2 Barnesville Electric Department 6.3 6.1 0.0 Baudette, City of 7.1 7.5 3.2 Benson, City of 5.9 6.3 4.7 Bigelow, City of 7.1 12.6 8.0 • Biwabik Public Utilities 5.5 6.1 0.0 Blooming Prairie Public Utilities 6.9 6.2 0.0 Blue Earth Light &Water Dept 7.1 7.7 6.6 • Brainerd Public Utilities 6.2 5.9 5.3 Breckenridge, City of 9.8 5.2 5.9 Brewster, City of 6.9 6.9 10.7 Brownion, City of 6.6 7.3 8.4 Buffalo Municipal Utility 7.2 7.7 4.9 Buhl, City of 5.8 5.9 5.9 Caledonia, City of 7.2 6.5 5.9 Ceylon, City of 5.3 5.3 0.0 Residential Commercial Industrial Rev/kWh Rev/kWh Rev/kWh Chaska, City of, Electric Department 6.5 6.9 5.4 Danvin, City of 7.9 6.3 0.0 Delano Municipal Utilities 7.8 7.9 6.1 Detroit Lakes, City of 5.6 6.5 4.4 Dunnell, City of 71 7.1 0.0 East Grand Forks 7.0 6.8 5.7 Eitzen, City of 7.7 7.5 7.6 Elbow Lake, City of 7.7 5.8 0.0 Elk River Municipal Utilities 6.9 6.8 6.8 Ely, City of 8.5 7.8 0.0 Fairfax, City of 5.5 5.9 5.2 Fairmont Public Utilities Corn. 7.3 6.3 4.9 Fosston, City of 6.0 6.5 5.3 Gilbert Water &Light 6.2 6.6 0.0 Glencoe Light & Power Corn. 7.0 6.8 5.8 Grand Marais Public Utilities Com 7.0 6.3 0.0 Grand Rapids Public Utilities Corn. 6.6 5.9 9.8 Granite Falls,Town of 6.2 6.6 9.9 Grove City Public Utilities 7.8 6.8 0.0 Halstad Municipal Utilities 5.9 9.3 0.0 Harmony, City of 6.0 6.0 5.8 Hawley Public Utilities Commission 6.3 5.9 0.0 Henning, City of 5.3 5.3 0.0 Hibbing Public Utilities Commission 7.4 6.9 8.2 Hutchinson Utilities Commission 5.8 5.5 4.5 Jackson, City of 6.3 6.9 5.3 Janesville, City of 3.5 3.3 0.0 Kandiyohi, City of 6.2 3.8 0.0 Kasota, City of 6.5 0.0 0.0 }Casson, City of 7.6 6.1 0.0 Keewatin Public Utilities Corn. 6.2 5.8 0.0 Kenyon Municipal Utilities 7.9 8.2 7.5 Lake City, City of 8.7 8.2 9.7 Lake Crystal Municipal Power Plant 8.7 6.9 0.0 Lake Park Public Utilities 6.1 5.2 0.0 Lakefield Public Utilities 5.3 5.5 0.0 • Lanesboro Public Utility Commission 5.2 6.4 0.0 Le Sueur, City of 8.0 7.7 4.8 Litchfield Public Utility Commission 4.6 4.6 3.6 Luverne, City of 6.3 7.7 4.4 Mabel, City of 6.6 6.5 0.0 Madelia Municipal Light & Power 7.9 7.5 5.7 Madison, City of 5.1 5.9 7.6 Marshall Municipal Utilities 5.0 5.3 3.6 Melrose, City of 3.8 9.1 3.4 Moorhead Public Service 5.0 5.7 9.2 • Moose Lake Water& Light Corn. 6.2 6.4 0.0 Residential Commercial Industrial Rev/kWh Rev/kWh Rev/kWh Mora Municipal Utilities 7.0 6.0 5.8 Mountain Iron, Gin'of 6.2 7.6 6.9 Mountain Lake. City of 7.8 7.6 5.3 Nashwauk Public Utilities 6.5 6.2 0.0 New Prague Utilities Commission 6.9 6.8 5.9 New Ulm Public Utilities 9.0 6.9 6.2 Newfolden, Gin,of 5.8 9.7 0.0 Nielsville, City of 6.8 6.8 0.0 North Branch, City of 8.7 7.9 6.9 North Saint Paul, City of 8.2 7.2 0.0 Olivia. City of 5.8 9.0 7.2 Ortonville, City of 5.2 9.9 0.0 Owatonna Public Utilities 7.9 6.6 5.5 Peterson. City of 8.0 0.0 0.0 Pierz Municipal Electric 7.5 7.1 7.3 Preston Public Utilities Com. 7.6 7.9 7.1 Princeton Public Utilities Gom. 7.7 7.9 6.8 Proctor Public Utilities Com. 5.6 6.6 5.6 Randall, City of 5.9 7.5 7.1 Redwood Falls Public Utilities Com. 9.5 9.2 9.8 Rochester Public Utilities 8.9 6.6 5.9 Roseau. City of 5.1 5.3 0.0 Round Lake, City of 7.8 8.1 7.4 Rushford, City of 6.9 6.6 5.9 Rushmore, City of 7.6 7.8 5.3 Sauk Centre Public Utilities Com. 5.3 5.6 4.8 Shakopee Public Utilities Com. 7.8 7.5 5.1 Shelly, City of 5.9 6.3 8.5 Sleepy Eve Public Utility Commission 6.4 6.9 5.9 Spring Grove, City of 7.9 7.1 3.8 Spring Valley Public Utilities Corn. 8.2 7.3 0.0 Springfield Public Utilities Com. 6.2 6.9 5.2 St. Charles, City of 7.9 6.8 5.8 St.James, City of 5.2 5.2 4.0 St. Peter Municipal Electric Utility 8.5 6.8 6.] Staples. City of 6.8 6.6 5.3 Stephen, City of 6.7 9.8 0.0 Thief River Falls, City of 5.2 4.6 5.1 Truman Public Utilities 8.8 8.0 0.0 Two Harbors, City of 16.9 7.9 0.9 Tyler, City of 6.2 3.9 0.0 Virginia Department of Public Utilies 7.9 6.7 0.0 Wadena, City of 5.9 5.7 4.6 Warren, City of 6.2 6.9 0.0 Warroad. City of 6.1 5.1 2.8 Waseca, City of 8.6 8.5 6.7 Wells Public Utilities 8.2 7.1 0.0 Residential Commercial Industrial Rev/kWh Rev/kWh Rev/kWh Westbrook Municipal Light& Power 6.0 5.7 6.5 Whalan, Town of 7.9 0.0 0.0 Willmar Municipal Utilities Com. 7.3 7.2 5.7 Windom, City of 9.8 5.2 9.6 Winthrop, City of 7.2 7.7 4.3 Worthington Public Utilities 6.5 6.3 9.6 Minnesota ]nv SIOr-Owned Interstate Power and Light Co 9.] 7.5 5.9 Minnesota Power Inc 6.6 5.8 3.6 Northern States Power Co 7.7 5.7 4.0 Northwestern Wisconsin Elec Co 9.7 9.8 0.0 Otter Tail Power Co 6.5 5.5 4.0 Minnesota Cooperative Agralite Electric Coop 7.8 6.4 3.7 Anoka Electric Coop 8.3 6.5 4.8 Arrowhead Electric Coop, Inc 8.] 4.4 0.0 Beltrami Electric Coop, Inc 5.7 5.6 0.0 Blue Earth-Nicollet-Faribault 8.0 6.0 0.0 Brown County Rural Elec Assn 6.5 6.0 4.6 Clearwater-Polk Elec Coop Inc 6.4 6,2 0.0 Cooperative L&P Assn Lake Cnry 7.6 7.3 4.0 Crow Wing Cooperative Power & 7.9 6.2 9.6 Dakota Electric Assn 7.6 6.9 4.3 East Central Energy 8.] 6.5 4.] Federated Rural Electric Assn 6.] 5.9 0.0 Freeborn-Mower Coop Services 8.2 6.7 3.6 Goodhue County Coop Elec Assn 8.9 8.6 0.0 H-D Electric Coop Inc 8.8 0.0 0.0 Head of The Lakes Elec Coop 9.2 8.0 0.0 • Heartland Power Coop 8.0 0.0 0.0 Itasca-Mantrap Co-op Electrica 7.4 7.2 3.9 Kandiyohi Power Coop 8.2 7.6 5.] Lake Country Power 8.3 6.9 5.0 Lake Region Coop Elec Assn 7.7 7.2 3.0 Lyon-Lincoln Electric Coop Inc 7.5 6.0 6.3 McLeod Cooperative Power Assn 8.0 6.6 4.2 Meeker Coop Light & Power Assn 7.0 7.0 4.2 Mille Lacs Electric Coop 8.4 7.5 5.4 Minnesota Valley Coop L&P Assn 6.8 7.0 4.0 Minnesota Valley Electric Coop 8.1 5.9 0.0 • Nobles Cooperative Electric 6.9 5.8 0.0 Residential Commercial Industrial Rev/kWh Rev/kWh Rev/kwh North Itasca Electric Coop Inc 10.7 7.6 6.7 North Star Electric Coop, Inc 6.7 6.0 0.0 P K M Electric Coop, Inc 6.6 7.0 7.3 People's Cooperative Services 7.8 7.3 0.0 Red Lake Electric Coop,Inc 5.8 5.3 0.0 Red River Valley Coop Pwr Assn 6.3 6.0 0.0 Redwood Electric Cooperative 8.0 8.1 0.0 Renville-Sibley Coop Pwr Assn 6.8 7.3 3.6 Roseau Electric Coop, Inc 5.3 4.4 0.0 Runestone Electric Assn 7.7 7.2 9.8 Sioux Valley SW Elec Coop 7.] 5.5 0.0 South Central Electric Assn 7.6 5.9 3.7 Stearns Cooperative Elec Assn 7.2 7.0 9.7 Steele-Waseca Cooperative Elec 9.3 7.7 4.9 Todd-Wadena Electric Coop 6.8 5.8 5.7 Traverse Electric Coop, Inc 7.5 6.3 9.0 Tri-County Electric Coop 8.6 6.9 3.6 Wild Rice Electric Coop, Inc 6.2 5.5 3.5 • Wright-Hennepin Coop Elec Assn 7.2 5.9 9.8 Source: C.S.Department of Energy.Energy Information Administration,Form ELA-861.2002 data. • Prepared March 2009 by the Amencan Public Power Association.Department of Statistical Analysis. •