LP&L board recommends rate increase pending council approval - KCBD NewsChannel 11 Lubbock

LP&L board recommends rate increase pending city council approval

LUBBOCK, TX (KCBD) -

The Lubbock Power and Light board is recommending a rate increase for your power bill as soon as October.

Lubbock city council must vote on the recommendation made on Tuesday.

Average consumers could pay 8 percent more if the council approves the decision.  

At least 9 area businesses that use a substantial amount of power would see a decrease based on the proposed rate plan.

LP&L customers overall would face an increase of nearly 5 percent, but the range depends on a customer's rate class.

Board member Lloyd Rhinehart says the proposed plan follows the same rate changes Xcel passed for their customers in February.

In the board meeting LP&L officials said they traditionally followed rate plans by Xcel, until February's rate change.

Tuesday's board recommendation passed 5 to 3, with one member abstaining.

According to LP&L's numbers, they could have had a negative financial year if it weren't for high power use in the hot summer months.

Board chairman W.R. Collier adamantly opposed the decision and said LP&L normally makes most of their money in the summer. Collier said he doesn't see the need for a rate increase after a profitable year.

LP&L says the cost of the electricity we buy from Xcel is ultimately higher.

Board members in opposition say there wasn't a written plan in place for where the money from the rate hikes would go.

In the meeting, several board members expressed interest in using the money from the increases to pay off debt or fund future projects instead of borrowing money.

LP&L is supposed to provide their own power by 2019 based on their agreement to buy out Xcel. Some board members said they wanted to make sure they have enough money in reserves going forward, in case of an emergency.

The board hopes to have a budget amendment for a plan for the rate increases by their next meeting.

Mayor Tom Martin said he doubts the council will make any decision at their meeting Thursday.

©2011 KCBD NewsChannel 11. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

  • Local News on KCBD.comNewsMore>>

  • Tourists at iconic French abbey evacuated after threat

    Tourists at iconic French abbey evacuated after threat

    Sunday, April 22 2018 5:24 AM EDT2018-04-22 09:24:35 GMT
    Sunday, April 22 2018 12:25 PM EDT2018-04-22 16:25:33 GMT
    Authorities are evacuating tourists and others from the Mont-Saint-Michel abbey and monument in western France due to an apparent threat against security services. (Source: Raycom Media)Authorities are evacuating tourists and others from the Mont-Saint-Michel abbey and monument in western France due to an apparent threat against security services. (Source: Raycom Media)
    Authorities are evacuating tourists and others from the Mont-Saint-Michel abbey and monument in western France due to an apparent threat against security services. (Source: Raycom Media)Authorities are evacuating tourists and others from the Mont-Saint-Michel abbey and monument in western France due to an apparent threat against security services. (Source: Raycom Media)

    Authorities are evacuating tourists and others from the Mont-Saint-Michel abbey and monument in western France after a visitor apparently threatened to attack security services.

    Authorities are evacuating tourists and others from the Mont-Saint-Michel abbey and monument in western France after a visitor apparently threatened to attack security services.

  • Road to N. Korea's denuclearization is littered with failure

    Road to N. Korea's denuclearization is littered with failure

    Saturday, April 21 2018 9:44 PM EDT2018-04-22 01:44:28 GMT
    Sunday, April 22 2018 12:25 PM EDT2018-04-22 16:25:29 GMT
    (AP Photo/Patrick Semansky, Pool, File). FILE - In this Feb. 9, 2018 file photo, Kim Yo Jong, left, sister of North Korean leader Kim Jong Un, shakes hands with South Korean President Moon Jae-in at the opening ceremony of the 2018 Winter Olympics in P...(AP Photo/Patrick Semansky, Pool, File). FILE - In this Feb. 9, 2018 file photo, Kim Yo Jong, left, sister of North Korean leader Kim Jong Un, shakes hands with South Korean President Moon Jae-in at the opening ceremony of the 2018 Winter Olympics in P...

    A look at previous nuclear negotiations with North Korea and how the currently planned talks between Seoul, Pyongyang and Washington took shape.

    A look at previous nuclear negotiations with North Korea and how the currently planned talks between Seoul, Pyongyang and Washington took shape.

  • World's oldest person dies in Japan at age of 117

    World's oldest person dies in Japan at age of 117

    Saturday, April 21 2018 8:34 PM EDT2018-04-22 00:34:25 GMT
    Sunday, April 22 2018 12:25 PM EDT2018-04-22 16:25:20 GMT
    Nabi Tajima died of old age in a hospital Saturday evening in the town of Kikai in southern Japan, town official Susumu Yoshiyuki confirmed. (Source: TV Asahi/CNN)Nabi Tajima died of old age in a hospital Saturday evening in the town of Kikai in southern Japan, town official Susumu Yoshiyuki confirmed. (Source: TV Asahi/CNN)
    Nabi Tajima died of old age in a hospital Saturday evening in the town of Kikai in southern Japan, town official Susumu Yoshiyuki confirmed. (Source: TV Asahi/CNN)Nabi Tajima died of old age in a hospital Saturday evening in the town of Kikai in southern Japan, town official Susumu Yoshiyuki confirmed. (Source: TV Asahi/CNN)

    The world's oldest person has died in southern Japan at the age of 117.

    The world's oldest person has died in southern Japan at the age of 117.

Powered by Frankly