Matanuska Electric Association Increases Bills Due to Rising Natural Gas Costs
Matanuska Electric Association (MEA) has raised electric bills for members due to increased natural gas costs from Cook Inlet and supply complexities. The monthly cost for a typical residential member will rise by $14.53, reflecting a 29.4% increase in the Cost of Power Adjustment (COPA).
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Starting now, MEA members will see a $14.53 increase in their monthly electric bills, reflecting a 29.4% rise in the Cost of Power Adjustment due to higher natural gas costs and supply challenges. MEA relies on natural gas for 84% of its power generation, and the increase is attributed to several factors, including higher-than-expected electricity usage and maintenance outages at neighboring utilities.
A new $170,000 monthly fee for natural gas storage, effective April, further contributes to the cost increase. MEA is exploring contingency plans to use more oil-fired power and diversifying energy sources with renewable options. A request for proposals will be issued later this year to seek new energy projects in response to the declining natural gas supply.
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