Building
Something New?
As most of
you are already aware, SouthEastern is a not-for-profit electric cooperative
owned by the people we serve. We are committed to the local community
and as a result of that commitment, our power supplier has invested over
240 million dollars to upgrade their generation facilities in order to
burn locally mined coal in an environmentally responsible manner.
As a result
of that financial investment, SouthEastern, which is one of the six distribution
cooperative owners of the Southern Illinois Power Cooperative, has had
to implement some rate increases. Increasing rates is always a difficult
decision for a not-for-profit entity and prior to taking that action, we
investigated every area where the membership might be subsidizing or paying
more than their fair share for certain cooperative activities.
One of the
areas looked at was the cost of line extensions and with an average construction
cost of over $20,000 per mile, we determined that some line extensions
would never return the dollars invested in them and therefore were being
subsidized out of the pockets of other members.
To alleviate
that situation, we decided to shift the cost burden to those members who
were actually requesting line extensions, some of those requests being
in excess of one mile.
Although our
complete area coverage policy is too lengthy to include in this article,
basically SouthEastern will provide a line extension of up to 600 feet
for any year-round, permanently occupied, immobile structure with an expected
energy usage of 15,000 kilowatt-hours per year, provided the line to be
constructed is immediately adjacent to and parallel with an all season
road maintained by a township, county, state or federal agency. If
the line to be constructed is not adjacent to an agency maintained all
season road, the Cooperative will only provide 300 feet of line extension.
In all cases
the applicant must furnish the Cooperative with a suitable right-of-way
properly cleared with written easements and pay a $5.00 membership fee
if they are not already a member.
Should members
require primary extensions in excess of the above mentioned perimeters,
they will be required to pay $7.25 per foot for the differential between
the base distance and the first 1,000 feet, and $2.00 per foot for any
construction in excess of 1,000 feet.
The quoted
prices apply to overhead construction only, but in most locations underground
line extensions can be provided at additional cost.
The point of
the above narrative is to alert our members who might be thinking about
building a new home to the fact that there may be additional cost involved
in providing electric service to secluded areas. We encourage anyone
who is thinking about building in an isolated area to contact our engineering
department for a free cost estimate. If necessary, a Cooperative
employee will even meet with you at the proposed construction site and
explain the various available options for electric service. |