ED3 continues long tradition serving Maricopa

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It amazes me that Electrical District No. 3 has a history that dates back 84 years to 1926 when it was first formed to provide electrical service to the surrounding area. No other utility would serve the area due to the low number of customers and the cost to build miles of electrical line in a rural area.

In 2001, ED3 served approximately 400 customers; at that time the roller coaster ride began with the housing market. During the next nine years, ED3 grew at breakneck speed and added 18,300 meters, which currently serves a population of nearly 45,000 people.

On May 26, 2010, Electrical District No. 3 reached another milestone in its history by receiving approval from the Arizona Corporation Commission for the transfer of customers currently being served by Arizona Public Service who reside within ED3’s service boundary. These customers, who will be transferred to ED3, have historically received electric service from APS power lines that are actually connected with ED3’s electric system and are generally located in the Hidden Valley area.

The approval of the application by the ACC allows the transfer of approximately 3,800 meters and related electric facilities to ED3’s existing 18,700 meter customer base, making ED3 the only electric utility with the responsibility of maintaining critical electric infrastructure and ensuring reliable service in the area. ED3 provides 24-hour emergency customer service and staffs two local offices. It is ED3’s committed goal that customers affected by this change will benefit from operational efficiencies that will be seamless to you. Because ED3 is a not-for-profit, cost-based utility, these additional customers will help all District customers by spreading ED3’s costs over a larger base of customers.

ED3’s residential solar photo voltaic (PV) systems have taken off from zero solar PV systems on ED3’s system in 2009 to over 32 solar PV systems that have been installed as of today. ED3 also has a number of customers who are waiting for future rebate funds to install additional solar systems on the District’s system. Currently ED3 has approximately 30 cents per month surcharge on residential electric bills to fund solar programs and provide rebates. There has been considerable discussion on whether ED3 should increase the surcharge to accommodate more solar PV systems, and I would ask you to let me know whether ED3 should increase the surcharge so that the District can provide more rebates to ED3 customers. You can call me at 520-424-0420 or by e-mail at [email protected] to let me know your opinion.

I would like to report to you that ED3 is continuing to work on controlling cost to our customers in the short term and long term. In 2010 the weather has been great for our customers with cooler temperatures this spring, but this translates into lower sales for ED3. At the same time, the District has approximately 2,000 homes in our service area that are empty and producing little revenue to ED3. The ED3 board of directors and management staff are optimistic that the District will meet our budget for 2010, and we are adding 30 to 40 new customers a month which is fantastic in this economy.

Looking at the long term, within five years ED3 will have access to one of the cheapest power hubs in Arizona, the Palo Verde hub, and will be able to bring this power into the area over the new 500,000 volt transmission line in which ED3 is a partner. The District is also working on a 25-year power purchase with a group of members from Arizona, which should lock in low cost power from gas for a long period. Over the next year ED3 will be working on several shorter-term power contracts that will replace parts of our current contract, and, beginning in 2013, ED3 will see a portion of our power cost decrease by 12 percent.

As a nonprofit utility, it is ED3’s major goal to provide our valued customers with reliable and affordable electric service. The economy is difficult for us all, but the ED3 board of directors and all employees remain committed to our customers and will be here to serve you.

Let me know of any way that we at ED3 can help you as we all go forward with this struggling economy.

Bill Stacy is the ED3 general manager. Reach Stacy at [email protected]. For more information, call 520-424-9021.

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(A version of this article appeared in the July issue of InMaricopa News)