Credits Issued to Lane-Scott Members from Winter Storm Uri Settlement

Lane-Scott Electric members were issued a credit on their March bills as a pass through for billing adjustments from Sunflower Electric Power Corporation. Sunflower has been tracking cumulative cost adjustments (Southwest Power Pool market settlements, natural gas billing adjustments, etc.) after the Winter Storm Uri occurred in February 2021.

Many of you probably recall during the Winter Storm Uri event, Lane-Scott Electric’s wholesale power bill which typically ranged from $600,000-$700,000 per month, skyrocketed to an unprecedented nearly $4 million for the month. The monthly power bill is a straight pass-through to our members in the form of an ECA charge or credit.  Rather than shouldering the full burden of the $4 million to our members, the Lane-Scott Electric Board voted to secure low interest financing to pay our wholesale supplier and allow an extended recovery of funds over 42-months for our members.

As a result of the credit adjustment issued by Sunflower, Lane-Scott Electric was credited $117,000 on our February 2023 billing. In return, we are passing through the credit to our members through the ECA on the March 2023 bill.

Utility cooperatives and members alike still feel the impact from the unparalleled storm event two years ago. While this credit doesn’t compare to the total cost from the storm, it is a small victory we will gladly pass along to our members.