Understanding Rates

At People's Energy, we strive to provide members with reliable electric service at fair and reasonable prices which meets or exceeds industry standards for availability, quality, and continuity.  

 

 

Members will see a rate increase, effective with May 1 energy use, on their June billing statements.  For a listing of the most common rate changes, frequently asked questions, and information on the 2024 Rate Increase click below.

2024 Rate Increase

Rates (Effective May 1, 2023)

Please note this only lists rates that changed and the most common rates used by members.  For a full listing of rates available, contact the Cooperative.

Rate Details

Residential Service - Rural
(Rate A)

Includes: residential homes or apartments outside of an incorporated city

Basic Service Charge: $53.70/month

Energy Charge: 
$0.10400/kWh (Sept.-May)
$0.12400/kWh (June-Aug.)

Residential Service - Urban
(Rate AU)

Includes: residential homes or apartments within the boundaries of an incorporated city

Basic Service Charge: $32/month

Energy Charge:
$0.10400/kWh (Sept.-May)
$0.12400/kWh (June-Aug.)

Single-Phase General Service with Electric Heat
(Rate H)

 

Basic Service Charge: $53.70/month

Energy Charge:
$0.10400/kWh (Sept.-May)
$0.12400/kWh (June-Aug.)

 

 

Electric, Shared/Community Water Well and Septic
(Rate Y)

Basic Service Charge: $20.50/month

Energy Charge: 
$0.10400/kWh (Sept.-May)
$0.12400/kWh (June-Aug.)

Unconnected General Service Line Extensions
(Rate Z & Z3)

Available to the consumers for whom the cooperative has extended service lines, but have no connected a service load, for general single-phase or three-phase service.

Basic Service Charge:
$53.70 (single-phase extension)
$122.50 (three-phase extension)

Please note this only lists rates that changed and the most common rates used by members.  For a full listing of rates available, contact the Cooperative.

Rate Details

Small General Service
(Rate B1 & B - metered demand does not exceed 25 kW in any of the months of June, July, August, December, January, or February, and/or does not exceed 25kW more than three months within the previous consecutive twelve-month period)

Includes: farms, small grain bins or dryers, and small to medium-sized businesses

Basic Service Charge:
$53.70/month (Single-phase - B1)
$122.50/month (Three-phase - B)

Energy Charge:
$0.09400/kWh (Sept.-May)
$0.11400/kWh (June-Aug.)

Medium General Service 
(Rate C1 & C - metered demand is estimated to or exceeds 25kW more than three months within the pervious consecutive twelve-month period and/or exceeds 25kW in any one of the months of June, July, August, December, January or February)

Includes: farms, large grain bins or dryers, large-sized farms, medium to large size business, and industrial operations

Basic Service Charge:
$53.70/month (Single-phase - C1)
$122.50/month (Three-phase - C)

Energy Charge: $0.06300/kWh

Demand Charge:
$13.50/kW (Sept.-May)
$17.00/kW (June-Aug.)

Controllable Seasonal Rate
(Rate CSR)

Available to members with seasonal energy use requiring at least a 70 KVA transformer

Basic Service Charge: $123/month

Energy Charge: $0.05910/kWh

Demand Charges:
Monthly Peak Transmission Charge: $7.25/kW

Seasonal Demand Charge When Load Control is Requested:
(Dec.-Feb): $30.94/kW
(June-Aug.): $85.77/kW

Peak Alert Interruptible
(Rate PA)

Available to members where their monthly maximum demand will or has exceeded 20 kW for at least once annually and the member has the ability to maintain their system's operation during periods of load control through the use of a standby generator

Basic Service Charge: $136/month

Energy Charge: $0.05910/kWh

Demand Charges: 
Monthly Peak Transmission Charge: $7.25/kW

Seasonal Demand Charge when Load Control is Requested:
(Dec.-Feb.): $30.94/kW
(June-Aug.): $85.77/kW

Three-Phase General Service with Electric Heat
(Rate I)

Rate was discontinued beginning with September 1, 2021 and moved to appropriate General Service Rate.

Cooperative owned, outdoor, dusk to dawn, unmetered lighting.

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This rate includes installation, maintenance, and electricity with installation on an existing pole where 120 volts (secondary distribution facilities) is available ahead of the member's metering. All outdoor lighting fixtures shall be owned, maintained, and operated by the Cooperative.

Please note this only lists rates that changed and the most common rates used by members.  For a full listing of rates available, contact the Cooperative.

Rate Details

Residential Service 
(Rate 160)

Includes: residential homes or apartments

Basic Service Charge: $32/month

Energy Charge: 
$0.10400/kWh (Sept.-May)
$0.12400/kWh (June-Aug.)

Optional Residential Service
(Rate 170)

Includes: residential homes or apartments

Basic Service Charge: $32/month

Energy Charge:
$0.05450/kWh (Sept.-May)
$0.06145/kWh (June-Aug.)

Demand Charge:
$5.79/kW (Sept.-May)
$7.69/kW (June-Aug.)

Please note this only lists rates that changed and the most common rates used by members.  For a full listing of rates available, contact the Cooperative.

Rate Details

Small General Service
(Rate 260/263 - metered demand does not exceed 25kW in any of the months of June, July, August, December, January, or February, and/or does not exceed 25kW more than three months within the previous consecutive twelve-month period)

Includes: small commercial buildings

Basic Service Charge:
Rate 260: $53.70/month
Rate 263: $122.50/month

Energy Charge:
$0.09400/kWh (Sept.-May)
$0.11400/kWh (June-Aug.)

Medium General Demand Service
(Rate 290/293 - metered demand is estimated to or exceeds 25kW more than three months within the previous consecutive twelve-month period and/or exceeds 25kW in any one of the months of June, July, August, December, January, or February)

Includes: medium to large commercial buildings

Basic Service Charge: 
Rate 290: $53.70/month
Rate 293: $122.50/month

Energy Charge: $0.06300/kWh

Demand Charge:
$13.50/kW (Sept.-May)
$17.00/kW (June-Aug.)

Large Power and Lighting
(Rate 360 - metered demand is more than 50 kW for 12 consecutive months)

Includes: large industrial operations

Basic Service Charge: $122.50/month

Energy Charge: $0.06300/kWh

Demand Charge:
$13.50/kW (Sept.-May)
$17.00/kW (June-Aug.)

Rate Details
Stored-Heat Space Heating (Off-Peak)
(Rate 310)

Rate was discontinued beginning August 1, 2023 and moved to appropriate General Service Rate.

Controlled Water Heating
(Rate 350 Off-Peak, 357 On-Peak, 358 Off-Peak)

Rate was discontinued beginning August 1, 2023 and moved to appropriate General Service Rate.

 

SMEC Municipal Pumping
(Rate 380)

 

Rate was discontinued beginning September 1, 2020 and moved to appropriate General Service Rate.

 

SMEC Demand Metered Municipal Pumping
(Rate 390)

 

Rate was discontinued beginning September 1, 2020 and moved to appropriate General Service Rate.

 

SMEC Single-Phase Farm 
(Rate 410)

 

Rate was discontinued beginning September 1, 2020 and moved to appropriate General Service Rate.

 

SMEC Three-Phase Farm
(Rate 420)

 

Rate was discontinued beginning September 1, 2020 and moved to appropriate General Service Rate.

 

 Cooperative owned, outdoor, dusk to dawn, unmetered lighting.

 

Cooperative Owned Outdoor Lighting

 

 

 

 

 

 

 

 

 

The rate for Cooperative owned lights includes installation, maintenance, and electricity with installation on existing pole where 120 volts (secondary distribution facilities) is available ahead of the member's metering. All outdoor lighting fixtures shall be owned, maintained, and operated by the Cooperative.

Municipal owned, outdoor, dusk to dawn, unmetered lighting.

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The Cooperative will furnish all electric energy required to operate the municipality's street lighting system. All maintenance shall be the responsibility of the municipality.

*Holidays are New Year's Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day, and Christmas Day

Rate Details

Optional Residential Time-of-Use
(Rate 167/167r, 168, 169)

Includes: residential homes or apartments

Basic Service Charge: 
$32/month (Urban - 167)
$53.70/month (Rural - 167r)

Energy Charge:
$0.25600/kWh (On-Peak - 167/167r)
$0.07400/kWh (Off-Peak - 168)
$0.04700/kWh (Overnight - 169)

Definition of Peak Periods:
On-Peak: 2-9 pm, M-F, excluding holidays
Off-Peak: 5am-2pm, Weekdays & all hours on weekends and holidays
Overnight: 9pm-5am, All Days

Electric Vehicle Charging Time-of-Use
(Rate 167EV, 168EV, 169EV)

Includes: electric vehicle charging

Basic Service Charge: 
$6.00/month (Single-Phase - 167EV)
$10.00/month (Three-Phase - 167EV3)

Energy Charge:
$0.25600/kWh (On-Peak - 167EV)
$0.07400/kWh (Off-Peak - 168EV)
$0.04700/kWh (Overnight - 169EV)

Definition of Peak Periods:
On-Peak: 2-9 pm, M-F, excluding holidays
Off-Peak: 5am-2pm, Weekdays & all hours on weekends and holidays
Overnight: 9pm-5am, All Days

Optional General Service Time-of-Use
(Rate 267/267t, 268, 269)

Includes: single or three-phase general service, 60 Hz, at available secondary voltages

Basic Service Charge:
$53.70/month (Single-Phase - 267)
$122.50/month (Three-Phase - 267t)

Energy Charge:
$0.25600/kWh (On-Peak)
$0.07400/kWh (Off-Peak)
$0.04700/kWh (Overnight)

Definition of Peak Periods:
On-Peak: 2-9 pm, M-F, excluding holidays
Off-Peak: 5am-2pm, Weekdays & all hours on weekends and holidays
Overnight: 9pm-5am, All Days

General Service with Demand Time-of-Use
(Rate 367/367t, 368, 366, 369)

Includes: single or three-phase general service, 60 Hz, at available secondary voltages

Basic Service Charge:
$53.70/month (single-phase - 367)
$122.50/month (three-phase - 367t)

Energy (kWh) Charge (all days and months):
$0.07340/kWh (Daytime: 5am - 9pm)
$0.04190/kWh (Overnight: 9pm - 5am)

Demand (kW) Charge:
Summer (Jun-Aug; weekdays only, excludes weekends and holidays*):
     $20.64/kW (On-Peak: 2pm - 9pm)
     $7.47/kW in excess of on-peak kW
     (Off-Peak: 9pm - 2pm)

Winter, Other Months, and All Weekends and Holidays* (Sep - May; all days):
     $12.46/kW (On-Peak: 4pm - 9pm)
     $7.47/kW in excess of on-peak kW
     (Off-Peak: 9pm - 4pm)

Please note this only lists rates that changed and the most common rates used by members.  For a full listing of rates available, contact the Cooperative.

Rate Details

On-Peak Electric Space Heating (Closed - not available to new applications)
(Rate D)

Available for: separately metered, single-phase residential service for the primary purpose of heating with electricity

Basic Service Charge: $6.00/month

Energy Charge: 
$0.10400/kWh (Sept.-May)
$0.12400/kWh (June-Aug.)

Off-Peak Electric Space Heating
(Rate E)

Available for: separately metered, single-phase service, which has utility approved electric space heating equipment at least 8 kW.

Basic Service Charge: $6.00/month

Energy Charge: $0.06200/kWh

Off-Peak Electric Vehicle Charging
(Rate EV)

Available for: separately metered, single-phase service, which has utility approved hard-wired, level two electric vehicle charger

Basic Service Charge: $6.00/month

Energy Charge: $0.06200/kWh

Electric Vehicle Fast Charging - Pilot Rate
(Rate EV3)

Available for: non-residential, Level 3 electric vehicle charging facilities with capacity of 50kW or more

Basic Service Charge:
$150.00/month

Energy Charge:
$0.15000/kWh

Electric Vehicle Charging Subscription Rate - Pilot Rate
(Rate EV999)

This optional incentive pilot rate is available and limited to 50 residential members for separately metered, level-2 hard-wired, electric vehicle charging.

Subscription Charge:
$30.00/month

Energy Charge:
On-Peak: $0.25600/kWh
Overnight, Weekends, Holidays, <800 kWh: $0
Overnight, Weekends, Holidays, >800 kWh: $0.07400/kWh

Definition of Peak Periods:
On-Peak: 5 am - 9 pm, M-F excluding holidays
Overnight: 9 pm - 5 am

Dual Fuel Space Heating
(Rate F)

Available for: separately metered, controlled dual electric space heating where electric service is also used for lighting or other purposes

Basic Service Charge: $6.00/month

Energy Charge: $0.07510/kWh (Sept.-May)
$0.10400/kWh (June-Aug.)

Load Management - Non-Compliant
(Rate FX)

Available for: member whose same single-phase service was previously metered on load management rate and has been found to be non-compliant per the load management agreement

Basic Service Charge: $20.50/month

Energy Charge: 
$0.10400/kWh (Sept.-May)
$0.12400/kWh (June-Aug.)

Off-Peak Electric Water Heating
(Rate U)

Available for: single-phase general service under a single-phase rate schedule, which has utility approved electric water heating equipment of at least 100 gallons, subject to the established rules and regulations of the Cooperative

Basic Service Charge: $6.00/month

Energy Charge: $0.06200/kWh

 

For more information on rates related to distributed energy resources such as wind or solar installations, click below.

Member-Owned Renewable Energy Resources

Rate Definitions

The Basic Service Charge accounts for the majority of the Cooperative's investment in poles, wires, transformers, and equipment to provide members with electric service.  It supports fleet, facility, and member service functions, such as outage response, line maintenance, member service support, and administrative responsibilities.

The Energy Charge is calculated based on the metered kilowatt-hours (kWh) consumed during the billing period.  The energy used to calculate this charge is also known as a member's usage.

The Demand Charge is determined by the highest amount of power, measured in kilowatts (kW), recorded by the meter during a designated period of time.  This measurement resets each billing period.  The charge is calculated by taking that measurement times the rate based on the time of year.

Understanding Demand

The Power Cost Adjustment reflects the increases or decreases in the Cooperative's cost to purchase and distribute wholesale power.

Frequently Asked Questions

PEC's member-elected Board of Directors and executive staff continuously monitor the financial stability of the organization to determine if a rate change is necessary based on a class cost of service study.

The Board of Directors then decides what the rates will be based on the following rate making principles:

  • Rates should generate the revenue required to operate the Cooperative, including appropriate operating margins.
  • Operating costs and margin requirements should be spread across all member classes equitably.
  • Rates should reflect the cost of serving each member class.

Rate design is a balancing act between meeting revenue needs while minimizing the overall financial impact to members.

As a not-for-profit organization, it is necessary to recover the costs of doing business, as well as maintain enough cash reserves (margins) to reinvest in the system.

Therefore, it is important to 1) evaluate the cost of providing service to members, 2) determine the revenue required to cover the costs, and 3) charge rates that ensure the required revenue is collected.  The process involves completing a cost of service study which is typically done every three to five years.

The study, completed by an independent and experienced firm, evaluates costs and identifies the total revenue requirement for the Cooperative.  The costs are allocated appropriately based on classifications such as residential, commercial, and industrial which are based on the type of service, equipment, infrastructure, and the capacity required to provide service.  The results of the cost of service study are then used as a tool to design rates.

  • To identify the cost of providing service based on customer class (residential vs. commercial), type of service provided (single vs. three-phase), and energy load characteristics (the demand and capacity requirements a service puts on the system).
  • To provide guidance for distributing and allocating revenue requirements to ensure equity between rate classes.
  • To provide guidance when designing individual rate schedules to ensure equity within each rate class and to ensure recovery of adequate revenue to provide service required by members.
  • Rates should generate the revenue required to operate the Cooperative, including appropriate operating margins.
  • Rates should reflect the cost of serving consumers when the rates are in effect.
  • If a consumer causes a cost to be incurred by the utility, the consumer should pay that cost.
  • Consumers should pay their "fair" share of the utility's costs and margins.

Typically, members are on a rate for 12 consecutive months before being moved to another rate.  There can be exceptions to this, like when a major load is added to your service, qualify it for a new rate.

To the electric utility, demand represents the amount of electrical power that must be available to consumers at any given time.  

To learn more about demand and how it affects the electrical grid, click below.

Understanding Demand

Utilities are required by law to ensure they always have the ability to meet consumer demand.  Having capacity readily available to meet the peak demand on the grid at all times requires significant investments in generation facilities and grid infrastructure. This cost is spread across consumers (i.e. you) who may only occasionally need this capacity to meet their building operations (likely just a few hours per year).  To remain reliable in serving you with the energy your building needs, the utility must be prepared to meet the highest cumulative peak demand.

It is important to understand that the electric meter measures demand in rolling 15-minute intervals throughout the entire billing period, which is from the first day of the month to the last day of the month. For billing purposes, the highest (peak) 15-minute demand period for the month is registered.

The charge ensures that member expectations for continuous power and outstanding customer service are met.

It provides the funds required to maintain the quality, reliability, and integrity of services that our members count on and have come to expect.  The expenses include items such as:

  • Substations, wire, poles, transformers, and equipment needed to distribute reliable electricity and members' power needs.
  • Trucks, equipment, and tools required to build and maintain the electric distribution system.
  • Facilities that house trucks, equipment, and supplies, including the technology and office supplies needed to operate.
  • Payroll for the wages of the professionals who design, build, maintain, and restore the system, as well as the staff needed to operate the business.
  • Vegetation management and system inspections to ensure the safety and reliability of the electrical system.
  • Liability insurance, interest on long term debt, and property taxes.
  • New technologies to provide increased reliability and operational efficiencies such as the automated metering infrastructure (AMI) system, outage management system, and investments in renewable energy.

Because all cooperative members benefit from having reliable electric service available when they want it, the basic service charge ensures that everyone pays their fair share of the basic costs - fixed costs that exist whether or not a single kWh is used.

All electric utilities are different.  PEC serves rural area, has low consumer density, and few large industrial members to distribute the financial load.

For example: PEC serves an average of just over eight consumers per mile of electric line equaling nearly $19,000 of revenue per mile of line.  RPU's average is 69 consumers per mile of line with average revenue over $207,000 per mile of line.  Regardless of consumer density, PEC is committed to meet each member's needs and expectations for reliable electric service.

Legacy

A service location within PEC service territory that was served by the Cooperative prior to the Alliant acquisition.  Billing statements for these accounts have green colored headings.

SMEC

A service location within PEC service territory that was acquired from Alliant Energy in 2015.  The billing statements for these accounts have blue colored headings.

NOTE:

Dairyland Power Cooperative is the power provider for legacy members and Alliant Energy is the provider for SMEC members.

The Cooperative has several options to help members manage electric costs.  Services include energy management programs to help manage electric usage as well as flexible payment options such as budget billing and a pre-pay option.  The first step is knowing how much energy you are consuming.  This data is available through SmartHub.

Members can find helpful information about conserving energy on the "Energy Saving Resources" page of the website which includes: 

  • Energy conservation tips
  • Energy Star appliance guide
  • Home Energy Guide
  • Energy Calculator
  • Locations of home energy savings kits that walk members through simple tools to evaluate energy usage

Energy Saving Resources