CREC’s purchased power costs account for more than 60 percent of the rate you pay for electricity.  Purchased power costs have risen 36 percent since 2005.There are several reasons why purchased power costs continue to increase, but it is mostly a case of supply and demand.  Simply stated, demand continues to grow at a faster pace than supply. 
A second reason is an increase in the cost of fuels used to generate electricity.  Both natural gas and coal prices continue to increase.  The third reason is government regulations.  The push for a more environmentally friendly way of generating electricity usually means more government regulations.   Adhering to these regulations cost generation and transmission facilities billions of dollars.
In an effort to make members aware of rising rates and provide information on what we can do together to make a difference, we have added a “Straight Talk About Rates” page on our Web site, www.crec.coop.  This page displays information on making your home more efficient.  Key legislation is also included on this page, so you may read up on bills that affect energy prices.
CREC members can rest assured that we have minimized increases by managing costs and continuing a number of cost-saving measures including strategic planning efforts, investing in technologies that make us more efficient, and taking advantage of partnerships that reduce costs.