Proposed 2026 Rate Structure Change

Staff will be presenting a rate structure change at the August 2026 meeting. This structure change will introduce new billing mechanisms such as Transmission Demand, Distribution Demand, and the creation of subclasses based on service size.

If approved, we anticipate the Transmission Demand will be effective on members’ bills in spring 2027.

Our current power provider charges us several line items on our monthly bill. One of those charges is a Transmission Charge. This charge represents the demand YVEA places at a single point in time during the month. This demand charge accounts for 14% of our monthly bill. When we transition to Guzman Energy, we will still need to pay this charge to Xcel because we use their transmission lines to get electricity to our service territory.

YVEA will determine your Transmission Demand Charge based on your highest demand during a 1-hour period between 5 to 9 p.m., 7 days a week. Whatever that highest demand is multiplied by the potential Transmission Demand.

Xcel has been making and will continue to make large investments in its transmission system. These investments are approved by the Colorado Public Utilities Commission. This rate will allow YVEA to more fairly recover transmission costs as it better aligns with how individual members consume power and how YVEA pays for power. The money collected under this new charge will largely go toward paying for Xcel's transmission investments.

When we transition to Guzman Energy, we will still need to pay this charge to Xcel because we use their transmission lines to get electricity to our service territory.

For planning and educational purposes, YVEA is using an illustrative rate of up to $2 per kW. We do not receive the preliminary Transmission cost for 2027 from Xcel until October. Also, during the 4th quarter, the board will work on approving the 2027 budget. YVEA will work with our consultant to determine the final Transmission Demand Charge and any potential rate increase needed for 2027. When the BOD approves the rate change, we will inform members of the charge amount.

YVEA will review your demand for the month and add it to your bill. We look at your highest demand during a one-hour period between 5 to 9 p.m, 7 days a week, and multiply that demand (KW) by the potential transmission demand charge.

The System Access Cost is a fixed monthly charge that recovers some of the fixed costs associated with serving an individual member, regardless of how much electricity is used. These costs include the cost of the meter, wire, and other equipment used to deliver electricity to the home or business, as well as billing expenses, such as meter reading, bill preparation, and postage. Even if you do not use any power from us, there is still a cost to operating and maintaining the grid that serves you. The system access cost helps cover these costs.

One of the best ways is to spread your energy use across the hours of 5 to 9 p.m. For example, you can start your washer at 5 p.m, your dryer at 6 p.m, and then start the dishwasher after your laundry is done. Instead of using these appliances at the same time, you are now spreading your demand, which will keep your Transmission Demand Cost lower. Since we are a winter-heavy-usage community, you will need to keep this in mind when plugging in your heat tape or space heater or using electric heat to warm your home. If you run your heat tape from 5 a.m. to 5 p.m., you can help reduce the high energy use associated with snowmelt. During the winter months, we recommend that members make the best decision when setting their thermostats to prevent pipes from freezing.

Yes! YVEA introduced a Smart Plug program back in May 2026. We are offering 4 free plugs per household. You will plug your devices into these plugs and sign up for the Emporia app. The app will provide real-time data and control of your energy usage. To learn more about Smart Plugs, visit our Smart Plugs page 

YVEA also offers rebates on programmable thermostats, heat tape timers, energy assessments, and much more. Visit the Rebates page to view all of our rebates.

5 to 9 p.m., 7 days a week.

An energy charge measures the total amount of electricity you consume during your billing period. A Transmission Demand is your highest demand, or the maximum rate you used energy, for a one-hour period in a month, between the hours of 5 to 9 p.m.

YVEA utilizes a third-party rate consultant as an outside expert in rate design and cost recovery when determining new rates and rate structures. YVEA follows a cost-of-service approach when determining its rates. This means that the cooperative, with the assistance of its consultant, calculates the cost of delivering electricity to its members, including expenses such as infrastructure maintenance, operating costs, and power supply.

We are always looking for ways to cut costs and operate more efficiently at YVEA, and the Transmission Demand Charge implementation is an example of this. We are also prioritizing our maintenance schedules and finding efficiencies within these efforts.

We are also committed to delivering safe and reliable service to the membership while maintaining current staffing levels.

In 2023, we announced a new power supplier, Guzman Energy, which we will be transitioning to in 2028. By signing our 15-year agreement with Guzman Energy, we will help stabilize our members' rates.

YVEA reviews rates annually. While we cannot predict the future, we can assure you that any decisions regarding rate adjustments will be made with the utmost care, in line with our mission to provide reliable and safe electricity to our members. We will still be paying Xcel to use their transmission lines, and Xcel’s ambitious infrastructure plans will affect those transmission costs. Prior to any rate change, YVEA will communicate with our members in advance.

Members can visit the Rates and Fees page to learn more about the rates, use the demand calculator, and watch videos on the Transmission Demand Charge and how it works.

When our co-op started 85 years ago, rate classes were easy to determine, and one-size-fits-all rate classes worked. We are now identifying residential and commercial members with the service sizes of 200 AMP or fewer, 320 AMP, and 400 AMP or greater. Currently, there is no price difference among these 3 sub-classifications. As we are always reviewing our rates during our Cost of Service Study, there may be times when we need to charge sub-classifications different rates to ensure fairness and equity across members.

A rate class is a category used by YVEA to members with similar energy usage patterns, such as households, small businesses, irrigation, or large business, like the ski mountain, mines, and hospitals. This classification ensures that rates are proportionate to the specific infrastructure and operational costs required to serve each distinct group.

We currently use small, medium, and large service to label our rate classes. We are now changing these classes to Residential, Commercial, and Industrial.

There are several options. Your best one is to call our Member Services team at (970) 879-1160 . They can work with you on paying your bill, advise you on our Budget Billing process, or help you connect with local agencies offering assistance. The bottom line is – don’t wait to ask for help. We want to help our members, so please call us.