Rate Update

TID is proposing a 16.7% rate increase, spread out over three years – 5.6% in 2025, 5.6% in 2026, and 5.5% in 2027 – for residential (DE) customers. However, each rate class will see a different increase, depending the costs to serve each rate type. Below is a table listing the proposed rate increase by rate type.

Residential Service (DE)

• 5.6% increase effective 2025
• 5.6% increase effective 2026
• 5.5% increase effective 2027

Commercial Service (CE)

• 3.8% increase effective 2025
• 4.2% increase effective 2026
• 5.5% increase effective 2027

Note that some rate types are proposed to increase more than others. This difference is based on the cost to serve that particular rate – domestic, commercial, industrial, etc. For full list proposed electric rate changes by rate type, click here.

If approved, the proposed rate increase will go into effect on January 1, 2025.

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

As a community-owned utility, TID has worked hard to provide the lowest electric rates in our region. However given the increased costs to provide reliable electricity, the increase of load in our service territory, and the anticipated growth in demand, it was necessary for TID to propose an electric rate increase to match the changing cost of continuing to provide reliable service.

Each year TID faces tough budgeting decisions, with the underlining goal of providing reliable electricity at an affordable rate. We have reached the point where our current rates will not support the rising costs to provide reliable electricity, upgrades to facilities that are nearing end of life, address an increasing load, nor will they support the costs associated with complying with California’s ambitious renewable energy mandates. All of these factors have made it necessary to look at the current cost to provide ongoing reliable electricity, resulting in a proposed rate increase.

The bill impacts for both residential and non-residential customers will depend on how much electricity customers use each month. An average Residential (DE) customer using 905 Kilowatt hours (kWh) per month will see an average monthly bill increase from $145 to $153.

TID has a Bill Calculator to help residential customers compare their electric bill under current and proposed rates. Customers can try the Bill Calculator here.

The Bill Calculator above is an estimate and only intended to be used for informational purposes. Actual electric bill and charges may differ from what is presented in the calculator. Calculator shows an estimate for a residential customer (DE), during winter billing months, who is not enrolled in TID’s Cares or Medical Rate assistance programs and who doesn’t have solar generation attached to their meter. The calculator does not include other applicable taxes, such as city tax.

TID has worked hard to consistently provide the lowest electric rates in our region.

Even with proposed rate updates, TID’s rates will continue to be the lowest in the region and among the lowest in the state.

TID reevaluates the cost to provide service annually and has been able to make smart budgeting decisions that have prevented a rate increase for the last ten years. Currently, TID’s proposed rate updates include the following increases:

TID is proposing to spread the needed rate increase across multiple years to reduce immediate impacts to customers.

Visit TID.org/RateUpdates to find additional information on the proposed rate increase.

TID Electric Rate Workshop: Tuesday, October 29, 2024 at 9am at the TID Board Room in the Turlock office located at 333 E. Canal Drive, Turlock.

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.

Bolstering RELIABILITY and ensuring the longevity and efficiency of existing resources.

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.

Examples of reliability efforts:

• 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 needs require the addition of necessary generation, distribution and transmission

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.

Examples of necessary infrastructure:

• 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.

STATE MANDATES require meeting the aggressive energy goals of the state

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.

Examples of imposed state mandates:

• 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 transition 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 risk assessments.

On average, 21% of the TID budget goes to pay for employee salaries, benefits and pension obligations. 41.5% goes toward the cost to provide reliable service, including costs to purchase fuel to operate our generation facilities, maintenance to keep our infrastructure running efficiently, and the cost to purchase additional renewable energy to meet California mandates. In 2025, 23.5% of the budget will go towards capital projects, which are investments needed by the District to grow, improve or fortify our ability to provide power and water.

TID is very prudent in our budgeting and the way we spend our ratepayers’ money. In addition, we maintain a rigorous maintenance schedule that maximizes the operations and lifespan of our infrastructure. This has resulted in TID not implementing a rate increase in ten years. Still, despite our best efforts, eventually rising costs cannot be recovered at our current rates and we have reached a point at which we need to propose a rate adjustment to support the true cost of providing reliable power.

As a community-owned utility, TID works hard to keep costs down and provide the lowest rates in region and some of the lowest in the state. TID optimizes its hydropower, natural gas, and other generation assets to reliably provide electricity to our customers and wholesale excess power to keep costs down.

Past investments in generation facilities and a commitment to steady maintenance of our facilities enables TID to buy and sell power to the economic advantage of our customers.

The PSA is used to offset variances between the base rate and power supply costs. For example, the PSA was adjusted up in December 2022 to offset record-high fuel costs. Once those fuel costs leveled-out, the PSA was adjusted back down. The PSA would not be able to offset the significantly changing costs to maintain reliable service.

The PSA is proposed to be reset to zero – no charge or credit – as part of this rate update.

While TID is proposing to increase electric rates, 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.

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.

Some customer rate types have a Time-of-Use (TOU) rate, which can vary depending on time of day. Residential customers do not have a TOU rate, unless they have opted to be on the Domestic Plug-in Electric Vehicle (DT) rate.