CPS Energy board votes to approve rate increase. How much more would it cost you?

SAN ANTONIO — CPS Energy’s Board of Trustees voted to approve a 4.25% rate increase on Monday. 

The utility will present their case for the increase to the San Antonio City Council on December 7, and if it’s approved it would go into effect on February 1, 2024.

“The rate increase will address CPS Energy’s infrastructure resiliency, growth, technology and security needs and workforce planning,” CPS officials said in a release. “This is part of a multi-year strategy of incremental rate increases necessary to maintain and improve the utility for the community now and in the future.”

CPS said that aging power infrastructure needs to be upgraded, especially as the population in and around San Antonio continues to grow. They said their core technology systems are 20 years old and need to be replaced, and 30% of their employees will be eligible for retirement in the next five years.

Officials said the rate increase would cost residential customers an average of about $4.45 extra per month and small commercial customers an average of $17.80 more on an average electric bill, or $24.40 is they also get gas service. They created calculators for residential and small commercial customers to project their bills under this plan.

“As Board Chairman, I stand by our decision to approve this rate increase, essential for the realization of Vision 2027,” said Janie Gonzalez, Chair of the CPS Energy Board of Trustees.  “The Board’s support reflects our unwavering commitment to our community’s input, energy future and CPS Energy’s role as a leader in innovative utility services. I echo our CEO’s appreciation for the collaborative effort that brought us to this pivotal decision.”

“This rate increase will help CPS Energy implement our Vision 2027 strategy to meet our customer needs and lead this utility into the future,” said Rudy D. Garza, President & CEO of CPS Energy.