Contact: NOVEC Public Relations, 1-888-335-0500, email@example.com
MANASSAS, Va. ― The Northern Virginia Electric Cooperative Board of Directors has approved returning $3.1 million in CashBack to customer-owners during the December billing cycle. NOVEC will also give power-cost-adjustment credits to customers in 2017.
What is CashBack?
As a not-for-profit business, NOVEC annually allocates back to customers revenue the Co-op receives over and above the cost of doing business. Such “margins” are held in CashBack accounts for each customer in proportion to the kilowatt-hours (kWh) of electricity purchased. NOVEC retains a portion of the margins to fund electric-system infrastructure upgrades and expansions, and to fund service restorations when major power outages occur, such as during severe winter storms.
“Our financial and strategic planning has fortified NOVEC’s already strong financial position,” explains NOVEC President/CEO Stan Feuerberg. “As a result, our board of directors has approved this CashBack retirement — just in time for the holidays.”
Current customers will see their share of the return as a credit on their December bills. Former customers will receive checks in the mail.
Power-Cost-Adjustment Credits in 2017
In addition to receiving CashBack credits, NOVEC will give customers power-cost-adjustment (PCA) credits on each monthly bill in 2017. Pending final Virginia State Corporation Commission approval, the PCA factor will be just over $0.008 per kilowatt-hour consumed. As a result, customers who consume an average of 1,300 kWh per month will receive a credit of a little more than $10 each month.
“As a customer-owned cooperative, NOVEC is committed to controlling costs as well as purchasing and generating electricity at competitive prices,” Feuerberg explains. “And, as a regulated cooperative, NOVEC does not earn a profit on wholesale power it procures for customers. The PCA credit reconciles the difference between our projected expenses and the costs actually incurred.”
Feuerberg says NOVEC customers will be paying less per kilowatt-hour for energy they consume in 2017 than they did in 2009 when NOVEC took over power-supply responsibility: “NOVEC is focused on providing customer-owners with the absolute best service at the best cost, from energy production all the way to the retail meter.”