Eyewitness News on Demand February 12, 2012
KSL Classifieds

Provo Power Users Won't See Rate Hike

Jan. 23, 2001-- Reported by Central Utah Correspondent Sam Penrod

As most of the country faces rapidly rising costs for electricity, several cities in Central Utah aren't worried about that at all.

Provo City is the main player of the Utah Municipal Power Agency.

And with the power shortage in the western U.S. tightening supplies, cities producing some of their own power aren't facing higher power bills.

The old Provo City smokestacks are operational again. The generators inside fired up last fall and are producing power after sitting idle for several years.

Kevin Garlick/Provo City Power: "IT WAS SHUT DOWN IN THE 80'S WHEN IT WAS UNECONOMICAL TO RUN. BUT GIVEN THE CURRENT MARKET PRICES, THE PLANT WAS STARTED UP AGAIN IN SEPTEMBER."

Provo is the anchor city of the Utah Municipal Power Agency. Other cities in the partnership are Spanish Fork, Salem, Nephi, Levan and Manti.

Some of the communities generate electricity, mainly through hydroelectric power plants. More importantly, they have the advantage of buying electricity together.

Kevin Garlick: "ANYTIME YOU CAN BRING THE INTERESTS OF MANY CITIES TOGETHER AND USE THAT BUYING POWER POWER TO GET LOWER PRICE CONTRACTS."

And producing power again at the plant is allowing the power association to occasionally sell electricity in a very tight power supply market.

Kevin Garlick: "WHEN THERE ARE SURPLUSES ON THE SYSTEM, U.M.P.A. DOES MAKE SALES TO OTHER COMMUNTIES AND THE CALIFORNIA ENTITIES TOO."

And by producing a majority of its power, along with long-term contracts for electricty, customers who get their power from Provo and its partners likely won't see a spike in their power bills.

Kevin Garlick: "WE FEEL FORTUNATE. WE DON'T THINK THE MARKET HAS IMPACTED US AND WE HAVE NO PLANS TO INCREASE RATES IN THE FORSEEABLE FUTURE."

And while Provo customers aren't faced with the immediate prospect of paying more for electricity, power officials say it is still important that they conserve electricity to prevent long term power bill increases.


Back to | KSL-TV Home |

© 2000 KSL Television, Salt Lake City, UT. feedback @ ksl.com