What does a rate cover?

The rates you pay for electricity and the customer charge cover the costs to run the electric utility, including purchasing electricity or building generation projects, transmitting power from generation locations to Alameda, setting aside prudent financial reserves, reading meters, responding to service calls, maintaining and improving electrical circuits, billing, installing new poles and wires, and repairing damage caused by vandalism, storms and auto accidents.

Show All Answers

1. What does a rate cover?
2. Why does Alameda Municipal Power (AMP) have a monthly customer charge?
3. Who sets the rates for my electric service?
4. How often are rates adjusted?
5. What does my utility bill actually pay for?
6. How do you calculate the charges on my bill?
7. When demand for electricity falls and sales decline, shouldn’t my rates also go down?
8. Why can’t the revenue from the short-term sale of renewable energy credits (RECs) and cap-and-trade allowances be used to lower bills?