AUSTIN, Texas — Austin Energy customers are starting the new year with some good news: their bills are going down, at least a little.
The utility provider said it’s lowering the rate it charges customers to offset operating costs by 5%, according to a report from KUT. Customers can expect to see a $2 drop on their monthly bills.
The change is called a power supply adjustment and includes the costs Austin Energy passes on for powering its plants, buying energy from the state power grid and supplying power to its customers.
The rate went up in 2023 after a winter storm, followed by record-breaking heat in the summer. Surges in demand, paired with a volatile natural gas market and Austin Energy’s debt obligations, have led to steady increases in customers’ bills over the past few years.
But experts say the energy market and the weather were kinder last year, and that stability has allowed Austin Energy to lower the costs it passed down to customers over the past few months.
However, the utility provider said it is still bracing for a potential increase in demand as we head into the area’s historically coldest months.