Estimated read time: 6-7 minutes
As if you weren't already feeling the pinch of inflation, Rocky Mountain Power's proposed rate increase is just salt in the wound.
Rocky Mountain Power recently proposed a 30% rate increase on electricity, which has now been reduced to 18.1%. This lower number sounds a little more palatable compared to the original request; however, what many people haven't yet noticed is that Rocky Mountain Power quietly started charging an extra 11.8% on the Energy Balancing Account on recent power bills. It looks like this change took effect on July 1.
According to Rocky Mountain, "The EBA is a price adjustment (either credit or debit) that accounts for differences between actual power costs and the level of power costs that were set in customer rates. Power costs are the variable costs of providing customers with energy, including such things as fuel and the cost to purchase power from other producers."
In other words, Rocky Mountain Power is saying that its costs have gone up and as a public service provider they aren't expected to lose money. Most of the electricity in Utah comes from coal and natural gas, and the cost of those commodities has gone up dramatically in the past few years.
The average Utah homeowner pays $156 per month for electricity, according to energysage. The proposed 18.1% increase — along with the 11.8% Energy Balancing Adjustment that already took effect — means the average residential customer will be paying about an additional $550 per year for electricity.
And while that is quite troubling, it is part of a larger problem. Not only are Utahns dealing with the effects of inflation, but they're also paying nearly double what they were 20 years ago for power. The Utah Public Service Commission reported that the average residential power bill for a customer using 700 kilowatts monthly was just over $604 per year in 2004. Now in 2024, that cost is nearly $1,100.
Additionally, power outages are more frequent than ever. Just a few weeks ago in August KSL.com reported an outage left 21,000 Rocky Mountain Power customers without power. In June, there were more than 60 power outages across the state in a single weekend, affecting nearly 20,000 customers.
Between the inevitable price hikes and frequent power outages, it's understandable if Utahns have grown anxious about leaving their literal power in the hands of a single company. Thankfully, solar programs and installations are available, like those from Smart Wave Solar. Through their program you can go solar for zero down and save a significant amount of money on electricity.
Here are just a few reasons why you'll want to consider installing solar sooner rather than later.
Solar provides a method to lock in your electricity price
With power prices increasing at an average of 4%-5% per year over the last 20 years in Utah, Ryan Stucki, co-founder of Smart Wave Solar said he expects that rate to continue to increase — which is exactly why you'll want to lock in your monthly payments with solar.
"Somebody who's paying $150 a month for electricity right now 30 years from now would be paying $538 a month. That's just using the historical average price increases that are expected to continue. So instead of spending $54,000 with the power company, you would actually spend $109,000 with the power company," he said.
Instead, consider going solar to help lock in the price of your power. Going solar means your monthly solar payments are set at a fixed rate, and won't go up — ever. According to Stucki, your payments will likely be similar to or even lower than your current utility bill. As electricity rates increase in the future, your savings will grow exponentially since your payments will remain constant.
Not to mention the fact that there are large tax credits available for going solar. This actually puts a significant amount of money back in your pocket. Smart Wave Solar's average customer gets over $10,000 in tax credits. Through lower payments and tax credits, solar will allow you to save tens of thousands of dollars on electricity.
Having an emergency backup battery means you always have power
Another reason you'll want to consider solar is not having to deal with outages. Most solar solutions stop working when a power outage occurs. Not so with Smart Wave Solar. They offer portable batteries and a whole home backup battery, the Telsa Powerwall 3, and Smart Wave Solar is Utah's largest Tesla Certified Powerwall installer.
As Utah's electric grids experience growing instability and prolonged outages becoming more frequent and widespread, having a backup power source provides significant benefits — and peace of mind, especially during emergencies. Should disaster strike, you can keep the lights on, the heat going and preserve the Costco rotisserie chickens in your refrigerator.
You will save money on electricity
Saving money is a top priority for a lot of folks these days, and one of the most obvious ways to do that is to lock in a fixed rate for your power.
"Our solar panels not only generate energy on your roof, they can also generate cash in your pocket," said the Smart Wave Solar website. "That's because when you go solar you can save on your monthly utility bill and secure lower fixed energy rates for years to come. The savings over time add up and allow you to plan for your future."
Still skeptical? With more than 300 reviews on Google and a 4.7/5 star rating, Smart Wave Solar's money-saving claims are the real deal. As Google reviewer Karin A. said, "I put off solar installation for several years because I heard so many stories of sketchy companies, scams, and poor service. Smart Wave quelled all of my fears … At this point, I'm very happy with my decision, and I'm feeling confident that my investment will endure."
Smart Wave Solar also offers free dinners at Ruth's Chris Steak House where you can learn about solar in a zero-pressure group setting. The presentation is less than 20 minutes, and Smart Wave Solar covers the cost of the food, soft drinks, tax, and tip! To see if your home qualifies, and to learn more about these dinners, visit FreeSolarDinner.com.
