The Garland City Council approved a rate increase for Garland Power & Light at the Monday, July 20, work session. Darrell Cline, the general manager of GP&L told council that inflationary pressures are local, statewide, national and global. He added that GP&L is not immune to those pressures.
Cline told council that there have been cost increases in equipment, labor, materials and contractors. However, none of those increases have been as high as the increase in the cost of natural gas.
The city of Garland posted the following announcement about the increase:
The cost of natural gas, which is the largest fuel source for power generation in Texas, has almost tripled since June 2021. To help offset this rapid and considerable global surge in the cost of natural gas, Garland Power & Light is modifying the Recovery Adjustment Factor (RAF) component of its electric rate with a 2 cents per kilowatt-hour (kWh) increase effective July 1. This is GP&L’s first rate increase in more than 16 years.
Electric rates in the ERCOT deregulated market have increased by approximately 8 cents per kWh in the past year. GP&L’s increase is significantly less thanks to reserve funds available to help mitigate rate increases and because GP&L has a diverse portfolio of power generation resources, which includes wind and solar in addition to natural gas.
The rate adjustment is effective for residential and commercial customers whose electric rates contain the RAF component.
With residential customers using an annual average of 1200 kWh per month, consumers will see monthly bills change on average from $121.10 to $145.10, for an increase of $24 per month.
How can I get help with my utility bill or manage my electricity use?
Contact Garland Utility Customer Service to ask about the Garland Customer Assistance Program. They can help qualified customers with utility bill payments. Visit GarlandUtilities.org, call 972-205-2671 or email CustServ@GarlandTX.gov.
Reduce electricity use to save energy and money. For ways to save, see GP&L’s Energy-Saving Tips.
Participate in GP&L’s EnergySaver Program, which can help residents and businesses make qualifying energy-efficiency upgrades.