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SECO News July 2022

Dear Members,

SECO Energy continues to deal with supply chain constraints due to the pandemic aftermath. Utilities across the state and the nation are experiencing shortages of raw materials, labor shortages, shipping delays and increased demand for utility products. We are challenged to procure transformers, PVC pipe, meter boxes and any equipment that relies on a microchip. This shift changes our business model to operating around the available materials. In fact, utilities across the state and the nation are feeling the strain of the supply chain issue.  Learn more from the Florida Electric Cooperatives Association in its recent statement.  

 

These constraints also result in increased cost of inventory and price escalation due to runaway inflation – which is at a 40-year high. In May, the price of natural gas hit a decade high $9 per million BTUs (British thermal units) and this significantly affects the cost of power SECO delivers to you from our wholesale provider, Seminole Electric Cooperative. Given the domestic and global events causing these market trends to continue, SECO must prepare to meet our business targets and member requests in an environment today that is extremely challenging. 

 

We anticipate the continuation of cost increases and supply chain interruptions. Ultimately, these factors will result in our members paying more for their energy needs – just as we at SECO find ourselves paying more for the materials we buy to construct new services and maintain existing infrastructure.  

 

Roughly 70 cents of every dollar SECO spends is to purchase power from Seminole. Members who read SECO News regularly and review their electric bill each month have seen a line item referred to as the PCA – or Power Cost Adjustment. This calculation allows SECO to adjust for the rise or fall of fuel costs in real time without formally adjusting the actual rate.  

 

This is a common utility practice that prevents the over or under collection of funds from our members. The PCA factor was changed in April bringing our cost per thousand kilowatt hours from $121.00 to $128.05. Unfortunately, projections from Seminole require us to make yet another adjustment to the PCA – sooner rather than later. 

 

The fuel cost adjustment was approved by the Board and takes effect on July 1 with an increase to $137.60 per thousand kilowatt hours consumed at the residential level. Know that utilities across the state and the nation for that matter are all in the same boat and are making fuel cost adjustments and raising rates. 

 

Notwithstanding all of this, SECO will strive, as we always do, to minimize such impact on our members by keeping our rates as affordable as possible and making sure our rates remain competitive locally, regionally and nationally. 

 

In a June report from the Energy Information Administration (EIA), it forecasts the U.S. residential electricity price will average 14.6 cents/kWh between June and August 2022. SECO’s residential cost per kWh remains well below that and we’re hopeful we can hold that line through the remainder of the summer when members consume the most energy. 

 

I realize that I’ve written to you largely about costs this month, but I want to close with the topic of reliability. Surveys show that the reliability of electric service is the most important driver of member satisfaction. Despite our collective current cost crunch, we continue to invest in expanding and maintaining our electric facilities throughout the entire service territory. With hurricane season upon us, I encourage you to view our System Improvement Map at SECOEnergy.com for Expansion and Reliability Projects to see where contractors and SECO Energy crews are working to enhance your experience as a SECO Energy member. 

 

Sincerely,

 

Curtis Wynn

Chief Executive Officer

 

 

Advice From The Old Farmer's Almanac

Advice From The Old Farmer’s Almanac: Summer Fishing Days

 

Cast a line, the fishing’s fine! The best fishing time is when fish are most active just after sunup and as the sun is going down and for an hour after. According to The Old Farmer’s Almanac, anglers should fish during the full moon period when tides are higher than average. Also, one hour before and one hour after the high tides in your favorite fishing spot is an ideal time. Another indication of a good fishing day is when the breeze comes from the west, and the water is still or only slightly rippled. Fishing with family or friends, or enjoying quiet time alone makes for a great day!

 

The best fishing days are between the new and full moon according to The Old Farmer’s Almanac. This summer, drop your line between July 1 – 13, July 28 – August 11 and August 27 – September 10. Read Florida Fauna & Flora this month to learn about red snapper.

 

 

SECO News July 2022 Summer Energy Efficiency Savings

Summer Energy Efficiency Savings

The long, hot days of summer are here. The EIA calculates the highest amount of electricity consumed in the U.S. is attributed to HVAC use. For Floridians, HVAC use is a longer span (typically early spring to late fall) than in other parts of the country and runs more frequently. It is likely the highest energy user in your home.

 

Energy efficiency and reducing energy costs are hot topics, especially in the summer months. SECO Energy offers several online tools to help members understand their home usage and identify energy wasters. 

 

The first stop is SmartHub, SECO’s online account platform. See past bills to compare last year’s usage with 2022’s usage – is it higher? Is it related to the weather? Visit our Sunshine State Stats in the Newsroom Blog to see how temperatures fluctuate and affect your bill. 

 

Your next stop is our online Home Energy Assessment – a home energy audit you conduct from the comfort of home. Fill out the assessment based on your home’s specifics (construction type, roof age, amount of insulation, etc.) and lifestyle. Submit your answers to receive personal energy-savings advice tailored to the data you input in the Assessment. Implement our suggestions, and you’ll be on your way to consuming less energy – and saving money.

Energy Usage Chart

 

The Energy Estimator is an online tool that explores the math associated with your energy usage. The Estimator will calculate the estimated cost for each of your home’s appliances and electronics. Submit your email address to receive no-cost and low-cost energy-savings suggestions via email.

 

You’ll find these energy-efficiency tools and more energy-saving tips at SECOEnergy.com > Energy Solutions. Use our online tools today to save energy and money tomorrow.

 

 

 

 

 

 

 

 

 

 

 

SECO News July 2022 Florida Fauna & Flora: Red Snapper

Florida Fauna & Flora: Red Snapper

 

Florida’s Fish and Wildlife Conservation Commission announced that Florida’s 2022 recreational red snapper season opened June 17 and runs consecutively through July 31. Visit myfwc.com for upcoming fall dates.

 

Red snapper in deeper waters tend to be redder than those caught in shallower waters. They have a long triangular face with the upper part sloping more strongly than the lower and earned the name snapper from their enlarged canine teeth. 

 

Age wise, red snapper can live a long time—red snapper as old as 57 years have been reported in the Gulf of Mexico and can grow to 40 inches long and 50 pounds. Females are able to reproduce as early as age 2. Males and females spawn from May to October, depending on their location.

 

Red snapper feed on fish, shrimp, crab, worms, cephalopods (octopus or squid) and some plankton. Young red snapper are food for the large carnivorous fish that share their habitat, such as jacks, groupers, sharks, barracudas, and morays.

 

These fish are generally found at 30 to 620 feet deep in the Gulf of Mexico and along the eastern coasts of North America, Central America, and northern South America. They are rare north of the Carolinas.

 

Read the full July 2022 SECO News online.

 

SECO News May 2022

Over the last decade, SECO Energy has been on a fast-growth pace while operating with strong fiscal responsibility. Unlike other parts of the country, COVID did not slow the need for infrastructure expansion across SECO’s service territory.  

 

The Sunshine State added more than 221,000 residents from other U.S. states between July 2020 and July 2021, according to the latest population estimates from the Census Bureau. That’s Florida’s largest gain in residents since 2005. Data compiled by Move.org shows Florida is the number one state people moved to in 2020 and 2021. 

 

This expansion and growing demand for power will likely be our norm for a while. March 2022 challenged SECO with the highest monthly number of new services in 15 years.  For SECO, this growth is occurring in the residential, commercial and industrial sectors.With the traffic and construction around Sumter County, residents might think that The Villages growth is highest across SECO’s service territory. That’s not the case. In 2021, Lake and Marion Counties grew 35 and 37 percent, respectively. 

 

With the significant amount of growth in our three largest counties, the following three elements are necessary to viably keep pace with the activity in SECO’s service territory – and maintain competitive rates in the process: 1) financial capability, 2) a talented SECO team, supported by stable contract labor and consistent access to material and equipment, and 3) since we do not generate and transmit power, we must be able purchase competitively-priced wholesale power that we can sell to our members. These three  elements are critical to our success.

 

SECO’s 2021 Annual Report was recently published at SECOEnergy.com, and the utility’s financial position is strong. But the growth and major investments that come with this growth during a time of record inflation challenge our ability to maintain flat rates while we preserve reliable service.

 

Last year, SECO members consumed over 3.68 billion kilowatt hours of electric power – an increase of almost 40 million kilowatt hours compared to 2020. To support the growth in our area and increasing demand for energy, our investment in facilities has topped over $1 billion. This ongoing facilities investment averages over $6 million per month.  However, we are all aware that the Federal Reserve is anticipating several interest rate hikes this year.   This has our attention since we know that SECO and our funders are not exempt from the cost impact of this policy.

 

Leading Power generation, now and in the future. Seminole maintains a balanced and diversified portfolio of energy resources.

Like all utilities, SECO continues to manage supply chain constraints due to the pandemic aftermath caused by shortages of raw materials, lack of labor, shipping delays and increased demand for utility products. The most challenging procurements are transformers, PVC pipe, meter boxes and equipment that relies on microchips. 

 

As a result, SECO’s inventory planning and operating model has necessarily shifted to operating around available materials. These materials constraints increase cost of inventory and price escalation beyond normal inflation. In 2021, SECO absorbed immediate cost increases without negatively impacting members’ rates in hopes of quick economic recovery. 2022 is a different story.  

 

Meeting business targets and member requests in today’s economic environment is gaining in complexity. SECO anticipates the continuation of cost increases and supply chain interruptions. Ultimately, these factors will result in members paying more for their energy needs. Roughly seventy cents out of every dollar spent is to purchase wholesale power. In partnership with our wholesale power provider Seminole Electric Cooperative, SECO strives to minimize impact on our members and keep rates affordable and competitive.  

 

Without question, your electric service is supported by a large, robust and well-maintained infrastructure that distributes power generated by Seminole. In recent years Seminole has taken steps to discontinue operating one of its coal units and replacing it with a natural-gas facility. Seminole continues to operate its 2.2-megawatt community solar farm and is adding more renewable energy to its portfolio. 

 

With these strategic changes, Seminole’s power production shifts dramatically away from 42% coal in 2020 to just 8% by 2024. Its use of natural gas increases from 28% in 2020 to 73% in 2024. Renewables are planned to double by 2024, but only account for 8% of the electricity Seminole generates for SECO and its other eight member cooperatives. When these strategic operational and environmental decisions were made prior to 2020, the cost of operating coal-fired units was not as cost effective as using natural gas to produce electricity – nor was it as environmentally effective. 

 

Since 2020, domestic and global events and the resulting economics have driven energy prices up. Oil prices have been on the rise since mid-2020, and consumers are paying significantly more at the pump. The natural gas market is affected as well. Seminole’s shift to a larger portion of its portfolio generating from natural gas has financial consequences.

 

The Energy Information Administration estimates that the wholesale spot price of natural gas in 2022 will reach an eight-year high. That market volatility will affect the cost of Seminole’s production of power and ultimately will reflect on members’ bills. 

 

This impact is already upon us. Members who read SECO News and review their electric bill each month are aware of a line item referred to as the PCA – or Power Cost Adjustment factor. This calculation allows SECO to adjust for the rise or fall of fuel costs in real-time without formally adjusting rates. This is a common utility practice. As a not-for-profit utility, it prevents the over or under collection of funds from consumers. 

 

In April, the price of natural gas and SECO’s wholesale bill from Seminole caused SECO to raise our PCA from $121.00 per thousand kilowatt hours to $128.05. Despite this fuel pass through increase, I ask that you continue reading to learn how competitive SECO’s rates are to other utilities in our area and nationally and what other steps we are taking to reduce costs.  

 

Sincerely,

 

Curtis Wynn

Chief Executive Officer

 

 

Rate Stack Up

Rate Stack Up

Over the last 33 years SECO’s rates have risen just 30% or slightly less than 1% per year on average. According to the Energy Information Administration, the national average rate increase for electric utilities is 45%, one and a half percent per year, which is over a half percent more per year than SECO. The cooperative has clearly remained competitive.

 

 

SECO News May 2022 ANNUAL MEETING CONTEST

2022 ANNUAL MEETING CONTEST

 

Did you miss our live 2022 Annual Meeting webcast on March 24? To watch the video, visit SECOEnergy.com and click on the Watch and Win! 2022 Annual Meeting Video homepage banner. Watch the video with the President’s Report from Richard Dennison and the CEO Report from Curtis Wynn and answer one question for a chance to win.

 

Which state did Curtis Wynn say was 2nd in the entire country in electric vehicle ownership? 

1. California

2. Texas

3. Florida 

4. New York

5. Arizona

 

Prizes:

$500 SECO Energy bill credit

$250 SECO Energy bill credit

Nest Learning Thermostat

HoneyWell Wi-Fi Thermostat

Apple TV HD

 

Complete the webform to enter the drawing. Prize winners will be drawn from all correct submissions on June 15, 2022, and winners notified by email or phone. SECO Energy membership must be active at the time of drawing.

 

Good luck!

 

SECO News May 2022 AMI-Investment In Future Cost Savings

AMI-Investment in Future Cost Savings

 

Moving into the future and understanding the supply chain and labor issues, the SECO Energy Board of Trustees has approved investing in technology that will save money and improve reliability over time. 

 

SECO is one of a very few large, fast-growing utilities in the state or in the nation for that matter that has not deployed Advanced Metering Infrastructure (or AMI) throughout its service territory. The cooperative is conducting two pilot projects to test the viability of deploying AMI on our system and is preparing to decide on a vendor to deploy the AMI technology that will improve operations and reduce costs in a variety of ways. 

 

Currently, SECO pays contractors to read meters on the more than 220,000 homes and businesses across the seven counties we serve. Because we don’t currently have Advanced Metering Infrastructure in place, many of our processes are manual – and costly.  

 

With AMI, the projected savings are significant savings coming from eliminating the high cost of manually dispatching trucks and contracted employees to read meters every month and from reducing the time and cost it takes to more quickly detect and restore power outages.

 

Learn more about AMI benefits for you, our members, in the Annual Meeting video posted on our website, Facebook and YouTube. Watch for updates in SECO News and at SECOEnergy.com.  

 

Read the full May 2022 SECO News online.

 

SECO News April 2022

 

Dear Members,

 

Whether you’re a new member or a longtime member, SECOEnergy.com offers interactive tools for a variety of needs from reliability/expansion project maps to energy-efficiency and solar calculators to the bill payment assistance map and more.

 

I’m proud to announce the launch of our newest interactive tool that displays when SECO crews and/or contractors are working in your area to improve existing electric facilities and to build new infrastructure to support growth in the residential, commercial and industrial sectors of our service territory. The System Improvement Map displays both Reliability Projects and Expansion Projects built on a platform that allows members to enter their service address and view events occurring in their area that improve reliability and expand the growing electric system. The map also provides a broad view of planned work underway across SECO Energy’s service territory. You’ll find these brand new tools at SECOEnergy.com > Contact Us > System Improvement Map.

 

 

RELIABILITY PROJECTS MAP

The first tab on the map is Reliability Projects which includes vegetation management assessments and trimming, facilities inspections, pole replacements, voltage conversions, substation maintenance, area light and underground equipment maintenance and many more projects that improve the quality of electric service. Each reliability project type is represented by an icon. Click on the icon for an explanation of the work, status and project duration dates. The “Additional Info” hyperlink provides more details including possible associated planned outages for crews to work safely.

 

But it’s more than just an online, interactive map. It is complemented by a communications system that generates emails, text and/or voice notifications to members proactively letting them know about the work scheduled to occur in their vicinity.

 

The Reliability Map is searchable by clicking the icons to display greater detail about a particular project. Or input your service address in the search bar in the top left corner of the map. Click on your address when it appears and the map zooms to your location. Zoom out using the minus button on the map to view project work boundaries in or near your service address.

 

 

EXPANSION PROJECTS MAP

At yearend 2021, SECO’s investment in electric facilities topped $1 billion. Currently, we are investing more than $6 million per month to maintain our current facilities and build new infrastructure to support growth. The Expansion Projects tab on the map displays where these dollars are spent on building new infrastructure. Work types include new substations, new towers for radio communications, substation upgrades and tower/radio upgrades.

 

You will notice on the Expansion Projects map that five SECO substations are currently undergoing significant upgrades: Astatula (Lake County), Dallas (Sumter/Marion Counties), Gospel Island (Citrus County), Lake Ella (Sumter/Lake County) and Timberwood (Marion County). You can search using your address on this map also or filter by county.

 

If you have questions about Reliability or Expansion Projects, click the FAQ tab or use the Contact Us tab to drop us a line. We typically respond within two business days. You can also reach out to us using the links to SECO’s Facebook and Twitter platforms. Follow us on social media for cooperative events, promotions, prize drawings and news releases.

 

 

SERVICE TERRITORY MAP

As a returning Florida resident, I’ve been shopping for a home in SECO’s service area. Another online, interactive SECO tool that has been a tremendous help to me personally is our Service Territory Map. It helped me determine if a home I was interested in was within the service territory. I’ve even shared the link with my realtor. If you’re relocating and want to live in our service area, visit our Service Territory Map to verify SECO serves the property you’re considering.

 

 

FIND BILL PAYMENT ASSISTANCE

Members who need a little help paying their bill will quickly find local social service agencies that have funding specifically allocated for SECO members. Visit SECOEnergy.com > Contact Us > Find Bill Payment Help to locate the map and resources. You’ll find local agencies across the counties we serve that receive funds from our Pennies from Heaven charitable program, along with funding from other resources such as LIHEAP, EHEAP and more. You can search for an agency by county, service address or scroll through the list on the left-hand side of the map. Agency phone numbers, locations and website addresses are listed for easy access to bill payment assistance contacts.

 

We’re proud of our beginning as a small rural electric cooperative. Over the last 84 years, SECO Energy has become one of the largest and fastest-growing cooperatives in the nation. We’re also an innovative not-for-profit cooperative that is preparing for a challenging future. I hope you give our new interactive tools a try. Read next month’s SECO News to learn more about online energy efficiency tools like the Home Energy Assessment and the Energy Estimator.

 

Exciting things are happening at SECO Energy, and it is our privilege to provide reliable, affordable, and innovative energy services to our members and communities.

 

Best regards,

 

 

Curtis Wynn

Chief Executive Officer

 

 

SECO News April 2022 Contractors TRC, Charter and Lumens/CenturyLink Completing Broadband Projects in SECO's Service Area

Contractors TRC, Charter and Lumens/CenturyLink Completing Broadband Projects in SECO’s Service Area

 

You will likely see three new broadband contractors out and about in your neighborhoods. This is not a SECO Energy project. The three contractors TRC, Charter and Lumens/CenturyLink are using SECO’s existing utility poles to attach broadband communication lines to expand broadband in Central Florida. We collect a rental fee from them and other utilities for attaching to our utility poles.

 

This work is funded by the $20 billion Federal Communications Commission’s (FCC) Rural Digital Opportunity Fund (RDOF) intended to spread and increase broadband speeds to underserved areas. This massive broadband project will be ongoing for three years.

 

TRC is working in conjunction with SECO to obtain and process permits for the pole attachments so that Charter and Lumens/CenturyLink can begin the work of adding broadband fiber and cable.

 

All contractor vehicles display a SECO Authorized Contractor logo and carry company identification. We have a list of authorized SECO contractors online at SECOEnergy.com >Your Co-op > Contractors. If you have questions about RDOF, visit www.RDOF.com.

 

 

SECO News April 2022 PCA Adjustments

Power Cost Adjustment

 

According to the U.S. Energy Information Administration’s (eia.gov) Henry Hub Natural Gas Spot tracker, the price for natural gas has risen from $2.71/MM per BTU in January 2021 to $4.38/MM per BTU in January 2022. This is an almost 62% increase. Unfortunately, it doesn’t appear that the price for natural gas will reduce anytime soon.

 

The natural gas price peak was $5.51/MM BTU in October 2021 and SECO Energy held its Power Cost Adjustment (PCA) factor stable. With the current volatility of the natural gas market, it is time to make a change. The EIA estimates that the wholesale spot price of natural gas in 2022 will reach an eight-year high. Market unpredictability will affect the cost of power we purchase from our wholesale power producer, Seminole Electric Cooperative and ultimately will reflect on member bills.

 

As of April 1, 2022, the PCA credit will decrease raising the cost for 1,000 kilowatt hours (kWh) to $128.05. This is a total increase of 5.8%. We will keep you informed of future pricing changes.

 

 

SECO News April 2022 Thank A Lineman

Thank a Lineman License Plate

 

Members can show their support for the thousands of Florida lineworkers and utility personnel who restore power to millions of Floridians after devastating natural disasters by ordering a “Thank a Lineman” license plate. The 2020 Florida Legislature approved the plate after Governor Ron DeSantis signed HB 1135 into law.

 

This cause is local and benefits a key SECO Energy employee recruitment partner. For every “Thank a Lineman” plate sold, $25 goes to Lake-Sumter State College (LSSC) to support their Electric Utility programs. According to LSSC’s website (www.lssc.edu), the college is ranked in the top 150 Community Colleges nationally. Their student job placement or continuing education rate is 97%. The scholarship boost is an exciting opportunity for LSSC, utility personnel across the state and cooperative members.

Reserve your plate today by purchasing a pre-sale voucher. Purchase avenues vary from county to county. Contact your local county tax collector’s office for guidance or visit myfloridaspecialtyplate.com/lineman-order.html, where you can pay for the pre-sale voucher and process your order online. Learn more at www.thankalineworker.com.

 

The actual “Thank a Lineman” license plates will be available once the pre-sale threshold is met.

 

Read the full April 2022 SECO News online.

 

SECO Energy Lowers Members’ Bills October 1

SECO Energy is once again lowering the cost of electric service. The not-for-profit electric cooperative will apply a higher member-favorable Power Cost Adjustment (PCA) to members’ bills beginning October 1, 2020. The PCA calculation appears on monthly statements as a line item titled “Hot Bucks.”

 

Since January 1, 2020, SECO’s rate for the first 1,000 kilowatt hours (kWh) consumed has been $116.90. The reduction on October 1 will lower the amount by $4.50 per 1,000 kWh to $112.40 or approximately 4%. Between January 1, 2014, and October 1, 2020, the price for $1,000 kWh of electricity has decreased by $15.35 or 12%.

 

CEO Jim Duncan stated, “Providing affordable electric service is a high priority for a not-for-profit electric cooperative like SECO Energy. Going back to January 2014, the rate for 1,000 kWh was $127.75. We applied several member-favorable PCA adjustments since early 2014 to correspond with fuel cost decreases.”

 

SECO’s PCA factor fluctuates based on the amount the cooperative pays for power purchased from its wholesale power provider Seminole Electric Cooperative, Inc. SECO works closely with Seminole to ensure the lowest rates possible for members. When the wholesale cost of purchased power decreases, SECO passes those savings along to members.

 

Duncan added, “Since 2014, there were times when fuel costs rose and SECO adjusted the PCA to reflect the increase. For the most part, the PCA adjustments SECO has made have consistently lowered members’ bills.”

 

SECO also encourages members to use electricity efficiently and reduce their energy consumption. Visit our Energy Efficiency page to complete the Home Energy Assessment for an online energy audit. Try the Energy Estimator to calculate the energy use and costs associated for everyday electronics, appliances, lighting and more.

 

“Like” SECO on Facebook and “follow” @SECOEnergy on Twitter for news releases, cooperative updates and for weather information and updates affecting SECO’s service area.

Energy Insider – 4th Quarter 2019

SECO Energy is a not-for-profit electric distribution cooperative serving 210,000 homes and businesses throughout seven Central Florida counties. We take pride in providing service to you, our member-owners, and most-valued Key Accounts. As your advocate, the SECO Energy Key Accounts team would like to inform you in advance of rate changes taking effect on January 1, 2020. We are communicating this to you BEFORE the public announcement to our general membership. We realize that many of you may have completed your budgeting process for the coming year, and we apologize for the untimeliness of this news. Unfortunately, our recent contract renewals with third-party vendors has prompted changes necessary for us to maintain a healthy cooperative and reliable electric service for your businesses.

 

Our 2020 outlook is a mix of good and bad news. The good news is wholesale power is stable, so we’re able to apply an increased Power Cost Adjustment (PCA), aka Hot Bucks, credit to your bill. Beginning January 1, the PCA will increase from $0.01570 to $0.02070. Wholesale power costs represent approximately 68 percent of your SECO Energy billing. The remainder of your bill is for cooperative operations including maintenance, restoration, construction and upgrades to the electrical distribution system on which you depend for reliable service. This is where the mix of bad news comes in. Our costs to construct and maintain the electrical distribution system are rising by a whopping 25 percent for 2020.

 

The labor market is very tight and contractors who perform maintenance are paying higher labor costs to keep workers on the payroll. This isn’t just a SECO Energy issue. Nationwide electrical utility contractors are struggling to maintain sufficient workforce. One of the more visible reasons was spurred when California utility PG&E was court ordered to significantly increase system maintenance and tree trimming to reduce fire risk. Florida lost a significant amount of its utility-related contract labor workforce to California and we are paying the price, despite a booming economy.

 

Our 2020 construction workplan continues to build upon our mission to construct, maintain and restore the electric system. Improvements such as storm hardening and tree trimming improve SECO Energy system reliability. System additions, upgrades and automation enhance the service so that disruptions to you are minimal. We have scheduled improvements throughout our entire service area that will also support and enhance our fast-growing system. A detailed map of key projects is included in the upcoming SECO News.

 

Another reason for the adjustments to our rates is the trend of declining average energy consumption of both residential and commercial facilities. Energy awareness and efficiency improvements along with new technologies have had an impact on kilowatt hour (kWh) sales. This contributes to the financial challenges facing our not-for-profit electric cooperative. In addition, the most recent cost of service study indicates the cost to serve members has risen. These factors and more necessitate an adjustment. The Residential (RES) customer charge will increase 17 cents per day, General Service (GS) will also increase 17 cents per day and the General Service Demand (GSD) customer charge will increase 50 cents per day. The demand charge associated with the GSD rate will also increase 20 cents per kW and the energy charge will change from $0.08890 to $0.09050 but with the increased Hot Bucks (PCA) credit applied to the bill, your energy costs per kWh will decrease. Our lighting rates will remain the same moving into the new year but will also benefit from a larger PCA credit.

 

The collective increases will raise SECO Energy’s total revenue approximately 3.5 percent for 2020. All changes as noted will be posted on January 1 in our rate tariffs at SECOEnergy.com and changes ensure parity between rate classes. In the meantime, I have linked to a document summarizing the changes reflected in this communication. If you have questions or are interested in a rate analysis to explore the impact of these changes on your billing, please contact your Key Accounts Consultant. We’re here to help!

 

The bottom line is that none of us like having to increase the customer charge or other components of your bill, but it is quite necessary to ensure continued service reliability. At the same time, we are pleased that stable fuel costs are allowing a larger Hot Bucks Credit (PCA) credit that will offset most or all of the increases depending on your respective usage level. These changes reflect the difficult balance between affordability and reliability.

 

For the full story on the 2020 Outlook – Rising Costs and a list and map of key projects, read Duncan’s Digest in the upcoming December SECO News.

 

 

BARBIE SHAW

Manager of Key Accounts & Energy Services
OFFICE: (352) 569-9787
CELL: (352) 303-3567
barbie.shaw@secoenergy.com

Hank Bolduc, SECO Energy Key Accounts Consultant

HANK BOLDUC

Key Accounts Consultant
OFFICE: (352) 569-9789
CELL: (352) 303-3546
hank.bolduc@secoenergy.com

Ryon Meyers, SECO Energy Key Accounts Consultant

RYON MEYERS

Key Accounts Consultant
OFFICE: (352) 569-9781
CELL: (352) 636-9593
ryon.meyers@secoenergy.com

Jeff Light, SECO Energy Key Accounts Consultant

JEFF LIGHT

Key Accounts Consultant
OFFICE: (352) 569-9790
CELL: (352) 303-3183
jeff.light@secoenergy.com

 

 

SECO News, June 2017

SECO News June 2017, Duncan’s Digest

Duncan’s Digest

 

Dear SECO Energy Members,

From the torch, to the oil lamp, to the Edison incandescent, to the CFL and LED, lighting has changed dramatically with the times. To “let there be light” today, SECO Energy must also change with the advancements of our industry. We must control costs and provide a high level of customer service. That’s what you expect and deserve, and we stand ready to fulfill your energy needs.

 

With our 2016 Annual Report and audit complete, I am proud and humbled to share strong fiscal results. Staying ahead of growing power demand is a challenge that is capital and expense intensive. It is a delicate balance of design, construction, maintenance and vegetation management.

 

Illuminating your homes and powering your appliances and electronics is a 24/7 responsibility. “Storm Ready” is SECO’s motto when Hurricane Season converges on The Sunshine State on June 1. If a storm blows through and on the rare occasion when the lights go out, you can bet that our crews and contractors are staged and on the move to restore power the moment it’s safe. Our Emergency Restoration Plan and investments in storm preparation ensure that you will not go without power for an extended period of time.

 

Our dedication to you over the last decade of service improvements has manifested in SECO Energy earning two consecutive J.D. Power awards for highest customer satisfaction in the nation in our segment. The cooperative’s ACSI score improved in 2016 to 89 – an outstanding rating, especially when compared to investor-owned and municipal utilities.

 

What distinguishes SECO from other providers is called the cooperative difference, and is made possible by our Board of Trustees’ governance, our executive team’s leadership and, most important, the dedication and hard work of the 400+ SECO Energy employees. Learn more in the online version of the 2016 Annual Report.

 

Thank you, members, for rating SECO so highly and for your loyal patronage. We are humbled and privileged to serve as your Central Florida energy provider.

 

Jim Duncan

Chief Executive Officer

 

SECO News June 2017, Surge Protection: Protect your Appliances and Win

 

Surge Protection: Protect your Appliances and Win

 

With Atlantic Hurricane Season in full swing, are your large appliances protected from harmful power surges? Would you like a chance to win a $300 bill credit? Read on to learn more about SECO’s surge protection program and a chance to win.

 

During the month of June, The Old Farmer’s Almanac predicts daily thunderstorms with an above average rainfall. That means Florida’s daily afternoon thunderstorms will likely bring large amounts of rain, high winds and damaging lightning.

 

In addition, birds, small animals, falling trees or vehicles crashing into SECO power poles can cause power surges. Power surges are sudden, powerful increases in voltage that can damage or destroy household appliances and other electronic devices in your home.

 

SECO’s surge protection is proudly “Made in the USA” and helps you protect large appliances from damaging power surges. A certified SECO contractor will install the meter base surge arrester behind your electric meter, no appointment needed. Members can lease the surge protection for $5.95 a month with a $25 installation fee, or purchase the product for $349 with installation included. The meter base arrester is just the first step to complete protection. Members should also purchase “point of use” devices from their local home improvement or hardware store to protect sensitive electronic equipment such as televisions, computers, cordless phones and more.

 

All members enrolled in SECO’s surge protection program will be entered into a random drawing for a $300 bill credit. Enroll by August 15 for your chance to win. Members who currently have surge protection are already entered into the drawing.

 

Learn more about SECO’s surge protection and enroll online. Good luck!

 

SECO News June 2017, Hot Bucks cooling down

 

Hot Bucks Cooling Down

 

Natural gas consumption in the power sector has risen 25% in recent years. The U.S. Energy Information Administration forecast that natural gas prices will rise about 20% in 2017. That prediction is beginning to play out.

 

The overall natural gas price outlook for Q3-Q4 2017 and NYMEX futures prices indicate that rock bottom gas prices under $3/MMBtu are over. Utilities across The Sunshine State are filing for rate increases as a result.

 

SECO Energy members have benefitted from three years of steadily declining power costs – a decrease of about 12 percent during that timeframe. But now we must respond to the changing fuel market trends.

 

As a result, SECO must adjust the PCA – Power Cost Adjustment – component of your bill. Rather than paying $112.60 for 1,000 kilowatt hours, members will begin paying $114.90 for that same average usage beginning July 1 as approved by the Board of Trustees.

 

The SECO increase is $2.30 per 1,000 kWh. Comparatively, Duke Energy’s increase that took effect in January was $4.39 per 1,000 kWh, and Florida Power & Light’s was $7.00 – reflections of the changing market.

 

Learn more about SECO Energy’s financial stability in the 2016 Annual Report.

 

 

Read the full June 2017 SECO News here.

SECO News, October 2016

SECO News, Duncan's Digest, February 2016

 

The Hot Bucks streak continues

SECO Energy has lowered the cost of energy again! As of October 1, the price for the first 1,000 kWh – average residential energy consumption in SECO’s area – has been reduced another dollar to $112.60.

 

Since January 2014, our cooperative has reduced the cost of energy nine times. In less than three years, SECO has lowered members’ bills by almost 12%. This latest reduction means that SECO members pay one of the lowest rates for energy in Central Florida (and per J.D. Power, our members receive the best service in the nation).

 

SECO Energy, October 2016 SECO News, The Hot Bucks streak continues

 

The decrease is formally called a Power Cost Adjustment or PCA – but our members know it better as “Hot Bucks.” The PCA is a line item component on your bill representing positive reductions in our cost of power. As a not-for-profit electric cooperative and a two-time J.D. Power Customer Satisfaction winner, SECO’s dedication to its members is clear. SECO is committed to providing members with low rates, reliable electric service and excellent customer service.

 

Be sure to look for the latest reduction on your October bill, as your Board of Trustees (your fellow members who govern your cooperative) approved the reduction in their September meeting.

 

 

SECO Energy, October 2016 SECO News, What it takes to be a JDP Winner

 

What it takes to be a JDP Winner

 

SECO Energy earned its second J.D. Power award in 2016 – ranked “Highest in Customer Satisfaction among Cooperatives.” J.D. Power examines the six factors, highlighted below, that explain SECO’s success.

 

Corporate Citizenship

 

As a not-for-profit electric cooperative, SECO has deep roots in the communities we serve. SECO Energy and its members team up through our Pennies from Heaven Program that rounds members’ bills up to the nearest dollar. The funds collected support area social service agencies to provide financial assistance for members in need. SECO’s scholarship program awards 12 deserving high school seniors in our service area a $3,000 scholarship to an accredited college, trade or technical school. SECO’s scholarship program has awarded over $500,000 to local students over the last 20 years.

 

Billing & Payment

 

SECO Energy offers a variety of convenient ways to pay your bill – without convenience fees. Members can pay online via SmartHub (SECO’s account management system), pay by bank draft, by mail or by phone. Members can pay in person at one of our five member service center locations – some include kiosks available 24/7. Another option is SECO’s MyWay PrePay program – members pay for their daily energy before usage. MyWay PrePay is perfect for members on a budget who closely track their usage and expenses.

 

Communications

 

SECO Energy’s Communications score is highest in the nation in our segment according to J.D.Power’s 2016 Customer Satisfaction Study. In February, SECO launched a brand-new website with a user-friendly platform that performs on a variety of mobile devices and browsers. SECO members also interact online with the cooperative through Facebook and Twitter. Members are reporting service interruptions online using their smart phones/tablets through our Storm Center application. Your monthly SECO News publication has been enhanced to be more informative and dynamic as well.

 

Customer Service

 

At SECO Energy, our customer service team is the best of the best. In fact, SECO is ranked “Highest in Customer Satisfaction” among electric cooperatives across the nation. The SECO Team is staffed with employees who live locally in the communities we serve. Phone calls to SECO are answered by a local employee. These calls are not outsourced. Members can engage with a local associate – to pay a bill, ask a question or voice a concern – in one of our five convenient locations. Or you can contact us online at your convenience.

 

Price

 

SECO Energy continues to lower energy costs – nine times in less than three years. Our cost per kilowatt hour is one of the lowest in Central Florida. SECO members also benefit from our Capital Credits program. Through sound financial stewardship, SECO has returned (retired) Capital Credits to members for years. Since inception, SECO has returned over $47.3 million to current and former members. Watch your November bill and SECO News for more information.

 

Power Quality & Reliability

 

SECO Energy is the third largest co-op in Florida and the sixth largest nationally. We serve almost 200,000 members across seven Central Florida counties over 2,000 square miles. SECO maintains, inspects and upgrades 12,000 miles of power lines to provide reliable power to members. To increase reliability, SECO has honed a comprehensive vegetation management program, and has been recognized as a Tree Line USA utility by the National Arbor Day Foundation for nine years in a row. SECO continues to expand to meet the growing power demand.

 

 

SECO Energy, October 2016 SECO News, Energy Efficiency Insulation Investment Pays Off

 

Energy Efficiency Tips – Insulation Investment Pays Off

 

Homes with the proper level of attic insulation provide reduced energy costs and increase your comfort level year-round. Upgrading attic insulation is one of the best energy efficiency investments – paying dividends year after year.

 

Attic insulation works to slow the movement of heat, reducing the HVAC system workload. Insufficient insulation causes the HVAC to work harder to cool or heat the home. It also causes the HVAC to run less efficiently and increase energy bills over time. Fiberglass batting is a pre-formed material sized to fit between ceiling joists and should be trimmed to rest snugly against any obstructions such as electrical wiring and air-conditioning ductwork. This makes fiberglass batting somewhat difficult to install as an upgrade.

 

Loose-fill fiberglass insulation is fed into a machine that loosens and propels the material through a hose allowing the installer to place a uniform blanket throughout the attic.

 

Loose-fill cellulose, like loose-fill fiberglass, is blown into attic spaces through special hoses. It can settle over time – you may need to install extra to account for settling. When upgrading attic insulation, make sure any recessed lighting is approved to be in direct contact with insulation. For more energy-saving ideas, check out the Energy Solutions section of our website.

 

 

SECO Energy, Like us on Facebook by Nov. 30 to be entered into a drawing for a $500 electric bill credit

 

Facebook Contest

 

Want to win a $500 bill credit? “Like” SECO Energy on Facebook today. All members who “like” SECO Energy’s Facebook page by November 30 will automatically be entered into a random drawing to win the $500 bill credit.

 

 

SECO Energy, Expressions

 

Expressions

 

Recently, members recognized the SECO Team and our hard work. The restoration effort after Hurricane Hermine was truly a team effort and was accomplished within 24 hours of the storm. The SECO Team of employees is the best of the best and our members continue to show us their appreciation on Facebook!

 

Thomas House  –  Just want to thank each and every one of you for your tireless devotion to ensuring that everyone had their power back on. You did a great job in horrible weather. Bless you all!!!

 

Barbara Maurer Chadwick  –  Love being a member of this electric cooperative! It’s so reliable, and who wouldn’t love getting money back every year, and “Hot Bucks” back every month!

 

Howard Shehan  –  You guys and gals are the best. I tip my hat to all of you. Stay safe out there.

 

Bart Walker  –  Well done and the tree trimming mitigation over the last few years really paid off. We used to lose power a lot, the lights barely blinked this time around, great job!

 

John Parker Awesome work SECO Energy! You Rock!!
 

 

Read the full October 2016 SECO News here.