Pee Dee Electric's new rate structure presents an excellent opportunity to explore key factors that influence electricity prices and identify ways to save energy at home.
Your monthly bill includes a summary of your electricity usage during the billing cycle, showing patterns such as spikes on colder days or during visits from relatives. Members may also access more detailed electric usage information through our website and our mobile app. While your energy consumption plays a major role, external factors also impact electricity costs.
Fuel Prices
Pee Dee Electric purchases electricity at a wholesale cost and delivers it to our local communities. The cost of generating and transmitting electricity from our generation partner accounts for a significant portion of the cost of providing electric service to local homes and businesses. The cost of fuels used to generate that electricity, such as nuclear, natural gas, coal, and renewables such as wind, solar, and hydro, fluctuates based on supply and demand. While these fluctuations can impact the cost of electricity, we help stabilize electricity prices for our members by planning ahead.
Extreme Weather
While we can’t control the weather, we can review weather patterns and forecasts to prepare for times of extreme cold or heat, when we know the demand for electricity will increase. But when temperatures become extremely hot or cold and the demand for electricity spikes, the price of electricity can also increase.
Infrastructure and Equipment
Pee Dee Electric members pay a grid access charge, formerly a facilities charge, to help cover the costs associated with providing electricity to homes or businesses. This flat monthly fee helps cover the basic cost of reading your meter, processing your bill, recovering the cost of materials (poles, transformers, wires, etc.) and labor to connect your home or business to the electric grid. In addition, we incur costs to effectively maintain the overall grid, including power lines, substations, and other essential equipment, to ensure the reliable service you expect and deserve.
Energy Policy and Regulations
Federal energy policies and regulations can profoundly impact electricity costs. As energy generation shifts to using more renewable sources and stricter regulations for traditional, always-available fuel sources, such as natural gas and nuclear plants, costly upgrades and technologies must be constructed and deployed. These additional costs are ultimately passed to members.
You Have Control
While many of the external factors impacting electricity costs are out of our control, we all have the power to manage our energy use at home.
The most effective way to lower use is thermostat management. Since heating and cooling account for a major portion of home energy use, adjusting the thermostat to the lowest comfortable setting in the winter and the highest comfortable setting in the summer can help you save energy and money. Remember to service your heating and cooling system twice per year and replace dirty filters as needed. Be sure to seal air leaks around windows, doors, and other areas where gaps are possible. This will help your heating and cooling system work less and improve the overall comfort of your home.
