New Fuel Factor, Refund Bring Break From Summer Weather's High Bills
Beaumont, Texas – Although energy-guzzling hot weather and high temperatures can be expected to stick around through September, Southeast Texans will soon see relief with a drop in their electricity rates that will last into next year.
Entergy Texas, Inc. customers should see a 12 percent decrease in bills over September and October because of a fuel costs refund and a new lower fixed fuel factor. The refund is limited to two months, while the savings from the fixed fuel factor portion will be in effect until March 2015.
For an average 1,000 kilowatt-hour residential bill, the fuel refund will be $7.59 in September and $10.06 in October. In addition to the refund, customers will also see a drop in the fixed fuel factor, which is a pass-through charge to recover costs for fuel used to make electricity. This charge will change from its current amount of $42.27 per the average 1000 kilowatt-hour residential bill to $36.20, or about $6 in savings.
A comparison to current bills shows that the average bill in August was $121.61. That will drop by 11 percent to $107.95 in September and by more than 13 percent to $105.48 in October.
"Natural gas is an important component of our electricity production and the primary fuel we use in Texas," said Sallie Rainer, president and chief executive officer, Entergy Texas, Inc. "Because fuel costs are passed on to customers, it becomes a key part of determining bills. With the price of natural gas continuing to moderate, we are pleased to be able to pass along this benefit to our customers."
Entergy Texas, Inc. delivers electricity to more than 426,000 customers in 27 counties. It is a subsidiary of Entergy Corporation. Entergy is an integrated energy company engaged primarily in electric power production and retail distribution operations. Entergy owns and operates power plants with approximately 30,000 megawatts of electric generating capacity, including more than 10,000 megawatts of nuclear power, making it one of the nation’s leading nuclear generators. Entergy delivers electricity to 2.8 million utility customers in Arkansas, Louisiana, Mississippi and Texas.