At Raft River Electric, we work hard to keep rates as low as possible while ensuring safe, reliable service. However, the cost to purchase and deliver power continues to increase. Wholesale power costs remain our largest expense and fluctuate significantly during the irrigation season due to regional demand, weather conditions and hydropower availability. Increases in wholesale power, supplies, equipment and operational expenses have made it more challenging to maintain a strong and financially stable cooperative.

Today, wholesale power accounts for roughly 61 cents of every one dollar on your monthly bill. As a not-for-profit cooperative, our rates are designed only to cover the actual costs of delivering electricity to our members, not making a profit. Our board and management team remain committed to carefully managing costs and keeping rates as affordable as possible for our members.

The rate adjustment will go into effect on April 1, 2026, and will be reflected on the May 2026 bill.

Raft River Electric is implementing an average 7.5% overall rate adjustment for all members, not including the previously announced increase to the seasonal irrigation charge, which will increase to $25/kW beginning April 2026. While 7.5% reflects the systemwide average, the exact impact on your bill will depend on factors such as energy usage, demand and rate classification.

For details specific to your account, please contact us at (800)342-7732.

Raft River Electric sets rates using a cost-of-service approach. This method ensures that the price members pay reflects the actual cost of providing electricity. Factors such as infrastructure maintenance, operating expenses, and power supply costs are carefully calculated and allocated based on rate classifications.

Any rate adjustments are reviewed and approved by our member-elected board of directors – local members who live on cooperative lines and are dedicated to fair and responsible rate-setting.

You can lower your bill by reducing demand (kW) or energy consumption (kWh).

• Reduce Demand: Running multiple appliances at the same time increases demand which can impact your bill. Try staggering the use of high-energy appliances to lower peak demand.
• Reduce Energy Consumption: The total amount of electricity used over time affects your charges. Using appliances less frequently and improving efficiency can help reduce overall consumption.

Contact Raft River Electric for advice on improving energy efficiency in your home or business at (800)342-7732.

Raft River Electric is committed to keeping rates as stable as possible while ensuring safe, reliable, and cost-effective energy for our members. While future rate adjustments are likely due to rising wholesale power costs and infrastructure needs, we work diligently to minimize their impact through careful financial planning.

We understand the importance of transparency, and any potential rate adjustments will be communicated to our members. Given the ongoing challenges facing electric cooperatives, we anticipate continued upward pressure on costs, which may affect future rates.

Raft River Electric is committed to keeping costs manageable while providing safe, reliable service. We achieve this by:

• Investing in System Upgrades – Enhancing infrastructure to improve efficiency and reduce long-term costs.
• Improving Operational Efficiency – Streamlining processes and optimizing resources to minimize waste.
• Negotiating Power Supply Agreements – Securing competitive energy contracts to stabilize rates.
• Promoting Energy Conservation – Encouraging smart energy use to lower demand and costs for members.

By carefully managing expenses and maintaining financial stability, RREC ensures strong equity and long-term value for our members.

Raft River Electric uses a three-part rate structure, meaning your monthly bill includes three key charges: a system access charge, an energy charge and a demand charge.

The system access charge helps cover the fixed costs of maintaining reliable electric service, ensuring power is available to your home or business 24/7. These costs include:

• Power lines, transformers, meters, and substations.
• Outage restoration
• Vehicle maintenance and property taxes
• Buildings, equipment, and software
• Staffing and operational costs
• Wholesale power costs

Since these costs exist whether or not electricity is used, this charge ensures that the infrastructure remains in place to serve all members. Currently, RREC’s system access charge does not fully cover these essential fixed costs, which is why we aim to recover more upfront rather than relying solely on energy charges.

The energy charge reflects the amount of electricity you use, measured in kilowatt-hours (kWh). This charge varies depending on your electricity consumption each month.

The demand charge, or peak demand charge, measures the highest amount of electricity your home or business requires at any given time. This is measured in kilowatts (kW) and is based on the highest continuous 60-minute average usage during the billing period.

• Kilowatt-hours (kWh) measure energy consumption over time.
• Kilowatts (kW) measure demand, or the peak amount of electricity needed at once.

Understanding these charges can help you manage your electricity use and potentially lower your costs.

Analogy: Imagine filling a bucket with water. You can use an inexpensive hose connection that provides 1 gallon of water per minute to do it, and it will take five minutes. Or you can use a more expensive large faucet that provides 5 gallons per minute, and it fills in just one minute. The flow rate is demand (kW), and the 5 gallons of water in the bucket is the consumption (kWh). Filling both buckets has the same consumption but at different flow rates, implying different demands. Compare this to two members using the same number of kWh but at varying flow rates, putting different demands on the system.