49 



Attachment to Ralph Cavanagh's Oct. 28, 1993 Testimony 



CLEARWATER POWER COMPANY 



4230 HATWAI ROAD 



P.O. BOX 997 (208)743-1501 



LEWISTON, IDAHO 83501 



August 27, 1993 



Dear Member: 



Bonneville Power Administration recently announced a 15.7% in- 

 crease in wholesale power rates to Clearwater Power Company. The 

 Increase will cover the costs for fish and wildlife enhancements, 

 new resource acquisitions, and recover lost revenues due to the 

 Northwest drought impact and low aluminum prices. Bonneville's 

 last increase in 1991 for 2.3% was not passed on to you. 



Tour cooperative has not raised rates since June of 1987. Con- 

 sidering the cost of living has gone up over 24 percent during 

 the sane tixae period, a rate Increase of less than 2 percent per 

 year is very reasoneUile. 



A recent study of our present rates has shown that an average 

 increase of 10.7% will be required to cover the 15.7% Bonneville 

 increase and other costs. All rate classes will not receive the 

 same percentage increase since the rates were not adjusted on a 

 straight-line basis. The Farm and Home Rate, which applies to 

 most members, will be a net rate (includes exchange credit) of 

 $0.0648 per kilowatt hour for the first 1,600 kilowatt hours, and 

 $0.0431 per kilowatt hour thereafter. The monthly Facility 

 Charge will increase from $12.00 to $13.50 per month for all 

 consumers. 



There is still a 33% (2 cents/kwh) savings on all kilowatt hours 

 over 1,600 par month. Our declining block rate is especially 

 designed for electric heat savings. 



The Small commercial consumers will also receive a declining rate 

 of $0.0671 per kilowatt hour for the first 1,600 kilowatt hours, 

 and $0.0451 per kilowatt hour thereafter. 



If you have a security (yard) light, the basic cost will increase 

 25 cents per month. 



