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OUTAGE REPORTING: 812-738-4115 or 812-951-2323

Basic Service Charge/Power Cost Adjustment

The $28 basic service charge covers a portion of the expenses for poles, wire, transformers, and other operating/maintenance expenses. A 2021 rate study indicated that the actual monthly basic service cost is approximately $48.96 per metered service.

Basic service costs are incurred for each service regardless of whether any kilowatts are consumed. These are costs incurred just to have power available. The kilowatt charges cover the REMC’s cost to purchase the electricity and the remaining portion of the general operating expenses.

The Power Cost Adjustment is a charge to recover wholesale purchase power cost changes due to environmental expenses, coal cost adjustments, and power purchases on the open power market. The Power Cost Adjustment fluctuates up and down, or tracks changes in the wholesale power cost components.

The REMC is a member-owned not-for-profit organization. Rates are designed to only recover the “revenue requirements” that the REMC needs to operate and maintain our system and provide safe, reliable and competitively priced electricity to REMC members.