Rate Update - TID Water & Power

TID, your community-owned utility, has worked hard to provide the lowest electric rates in our region and one of the lowest throughout the state. As a result, TID electric customers have not experienced a rate increase since 2015. Given the increased costs to provide reliable electricity, increase of load in our service territory, and the anticipated growth in demand facing our service area, it is necessary for TID to take a hard look at the changing cost of providing reliable electricity.

Key factors affecting rates:

Included in rate evaluation are factors that impact our ability to maintain our current level of reliability, carry out needed capital improvement projects to update aging infrastructure, add new infrastructure to accommodate electrification, and increase renewable energy generation to meet State mandates.

Aerial image of the Don Pedro Hydroelectric Powerhouse.

Reliability

TID customers benefit from the District owning and operating an integrated electric generation, transmission and distribution system that keeps electricity flowing to 240,000 people. Improvements that fortify our existing infrastructure are required to preserve the integrity of our system and maintain our strong record of reliability.

Don Pedro Life Extension Project will increase generation capacity by 30% and extend production life another 50 years.
Maintenance of, and improvements to, existing generation facilities is required to ensure current investments continue to operate efficiently.
Inspection and replacement of existing poles and wires that are at end of life is necessary to increase capacity and protect our operations.

Infrastructure

TID serves a vast 662-square mile territory, in a region that continues to see growth through housing developments, business expansions, and the increase of electrification in all sectors. This inevitable growth creates the need for new infrastructure to meet existing demand and prepare for the future.

TID will purchase land to build two new substations, and increase transformer size at multiple existing substations, to prepare for increased demand of consistent electrification.
Identification and procurement of energy storage opportunities are necessary to better optimize intermittent solar generation.

Wind turbines sprawl across green, hilly terrain.

State Mandates

California’s approach to combating climate change through ambitious renewable mandates, carbon removal, and zero-emission vehicle goals is admirable but also means additional costs to our budget.

State legislation requires TID to be 100% carbon-free by 2045. Meeting this goal will require the acquisition of additional generation that meets specific renewable guidelines.
TID is required to phase-in the transition of TID’s 183 truck fleet to zero-emission medium-and-heavy duty vehicles at a cost of almost double the price for a combustion engine vehicle.
In California, compliance with vegetation management mandates forces utilities to employ large teams of specialized labor, such as arborists and contractors, to clear vegetation and perform fire-risk assessments.

Public Workshops

To learn more on how these important TID projects will affect future TID electric and irrigation water rates, we encourage you to attend or tune in to the following public workshops.

TID Electric Rate Workshop October 29, 2024 – 9 a.m.

TID Water Rate Workshop November 5, 2024 – 9 a.m.

Both meetings will be h 333 E. Canal Drive, Turlock or www.TID.org/BoardMeetings.

Where does each dollar go?

This chart show how TID allocates funds, dollar for dollar.

Total labor cost, including salaries, benefits and pension obligations, make up 21% of the budget, distributed amongst the functional areas.

Category Descriptions

Power Supply – Resources needed to purchase fuel for generation, maintenance of generation assets, secure energy contracts, including clean energy to meet state mandates, and provide power.
Energy & Water Delivery & Operations – Cost to maintain and reinforce delivery systems.
Planning & Engineering – District and customer projects.
General District Operations & Maintenance – Customer programs & services and typical administrative expenses including insurance, accounting, security, facilities and human resources.
Technology – Information systems including cybersecurity.
Capital Projects – Large capital investments needed by the District to grow, improve or fortify our ability to provide power and water.
Total Bond Debt Service – Debt service on existing TID generation facilities.

Frequently Asked Questions

When was the last time TID increased rates?

TID electric customers have not experienced a rate increase since January 1, 2015.

How are the rates I pay to TID spent?

Power Supply	41.5%
Energy & Water Delivery & Operations	10%
Planning & Engineering	4%
General District Operations & Maintenance	5.8%
Technology	3.4%
Capital Projects	23.5%
Total Bond Debt Service	11.8%

What charges are on my bill?

Utility Consumption Data
This section lists the amount of electricity used by the customer during the billing cycle. You’ll also find the date your usage was recorded.

Summary
The summary section includes the breakdown of all charges for the current billing period.

Customer Charge
This is based on costs for metering, billing, collection, and related connection costs.
Energy Charge
The cost of energy based on the amount of electricity consumed each month, in addition to the costs of operating and maintaining the electrical transmission and distribution system, as well as virtually every business service related to providing and planning electric delivery functions.
Power Supply Adjustment
The PSA is used to offset the variances that occur over time between the base rate and actual power supply costs. It can vary between a one-cent per kWh charge and a half-cent per kWh credit.
Environmental Charge
The cost to the District to comply with environmental laws, rules, and regulations. This is proposed to be remove as part of this rate update.
Public Benefits Charge
Mandated by the State of California to fund renewable resources, energy efficiency programs, low-income assistance and energy research and development projects. The rate is 2.85% of the amount billed..
State Surcharge
A utility tax collected and administered by the State of California.

Are there ways I can keep my electric bill down?

While TID’s electric rates are increasing, it is important to understand your electricity usage to help manage your monthly bill. Visit My.TID.org to access valuable information about your TID account, energy usage, and take advantage of options like budget billing and payment arrangements.

Does TID have payment assistance programs to help customers pay their electric bill?

TID’s CARES Program offers eligible customers a monthly discount on their electric bill based on household size and income. In an effort to help as many customers as possible, TID lowered the income qualification guidelines of the programs. TID also offers a medical rate discount and a weatherization program to help you use less energy and keep your electric costs down.

There are local non-profit and federally funded programs, including the Home Energy Assistance Program, that can help TID customers with their utility bills.

Visit TID.org/PaymentAssistance for more information or call 209-883-8222.