Jacksonville FL — Your rates could increase if JEA doesn’t change over the next decade according to a new presentation to the utility’s board Tuesday. JEA said in order to fill a $2.3 Billion cash gap projected over the next 10 years, the utility would need to increase electric base rates by 52% or by 40% with no contribution to the city after 2023. JEA said water rates would need to increase as well by 16% or by 9% with no city contribution in that same time frame. What that means for you according to the utility’s Chief Financial Officer Ryan Wannemacher is that bills could go up by $500 per year.
The utility says by 2030 customers are likely to increase by 16% and energy sales are likely to fall by 8%. During the presentation, JEA said energy efficiency is the biggest reason for a loss in free cash flow, mainly after the Energy Policy Act was signed in 2005.
The utility’s Managing Director and Chief Executive Officer Aaron Zahn says the utility needs to break the status quo.
“We need to be starting to thinking about this business in a much different way” Zahn says.
During the meeting the JEA Board approved to have the utility’s senior leadership team come up with plans and options the board can look over for how the utility can change.