The Power Cost Adjustment is a line item on your bill that can change from month to month. Its purpose is to provide SCI REMC with the ability to keep up with changes in the energy market and the cost of purchased power.
SCI REMC is a distribution cooperative that purchases wholesale power from Hoosier Energy, a generation and transmission (G&T) cooperative. Hoosier Energy provides electric power and services to SCI REMC and 17 other distribution cooperatives in Indiana and Illinois. SCI REMC and Hoosier Energy are both non-profit organizations owned by those we serve, including you. Hoosier Energy generates and transmits electric power, and SCI REMC distributes the power to homes, farms and businesses.
Toward the end of 2021, global energy costs began to increase dramatically due to inflation, supply chain issues created by the pandemic, and most recently, the war in Ukraine. Coal prices are up nearly 300% since this time last year, and natural gas prices have increased more than 100% year-over-year. This has resulted in wholesale power prices increasing more than 175%. Electric cooperatives are not immune to inflation, which has recently led to an increase in the cost of the electricity, materials and equipment we rely on every day to operate and maintain our system.
You can help by taking action to reduce electricity consumption. Turn off lights. Adjust your thermostat a little higher this summer. Use you grill or microwave for cooking, instead of oven and stove in the summer. Consider a smart thermostat if you don’t already have one. We also have several programs to help you optimize your energy consumption. We encourage you to visit sciremc.com/save-energy-money to learn more about the energy efficiency programs and services we offer.