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CPS Energy Proposes New Ways to Help Low-Income Customers

10/15/2009

CPS Energy officials today in a briefing before the San Antonio City Council proposed improvements in programs to assist low-income customers including a $50 million boost to home weatherization.

"As we’ve made presentations and interacted with customers this year throughout the community, we’ve heard concerns about how difficult it is for many to pay their energy bills in today’s tough economy,” said Jelynne LeBlanc-Burley, CPS Energy’s chief administrative officer.  “Historically, we’ve worked hard to help disadvantaged customers in many ways, but we want to do even more in view of current circumstances.”

LeBlanc-Burley outlined three proposals:

  • Transfer $2.5 million out of the Residential Energy Assistance Partnership (REAP) trust fund -- $1 million per year for the next two years and $500,000 in the third year – for direct aid on energy bills to customers in distress.  Already CPS Energy earmarks $1 million annually for REAP and works closely with the City and Bexar County in dispersing assistance funds to qualifying customers.  In addition, customers in a position to help others can contribute to REAP by adding an extra amount to their monthly CPS Energy bill payments.
  • Allocate an additional $3 million to a rate discount program initiated last year.  The extra funding would assist 40,000 customers at or below the poverty level, increasing the current $3 discount on CPS Energy bills by $5 to a total of $8 per month.  LeBlanc-Burley noted that City Council approval of a projected 9.5 percent rate increase next spring will be required to offer the additional discounts.
  • Launch the home weatherization portion of the Save for Tomorrow Energy Plan (STEP) Dec. 1 and increase STEP funding for weatherization by $50 million by 2020 to a total of $206 million.  All told, with a $50 million increase, the overall amount budgeted for the aggressive STEP energy efficiency and conservation program would rise to $899 million.  Home weatherization improvements are designed to help customers tighten up their dwellings and save both energy and money.

LeBlanc-Burley further noted the City anticipates receiving additional money for weatherization through federal stimulus funding.

“We believe these three initiatives will go a long way toward helping struggling families cope with financial issues as they relate to energy costs,” LeBlanc-Burley said.  “We welcome further discussion with the City Council in weighing the merits of these proposals.”





CPS Energy is the nation's largest municipally owned energy company providing both natural gas and electric service. Acquired by the City of San Antonio in 1942, the company serves approximately 700,000 electric customers and more than 320,000 natural gas customers in and around America's seventh-largest city. CPS Energy owns the highest financial ratings of any electric system in the U. S., stands number 1 in wind-energy capacity among municipally owned utilities across the country and ranks number 1 in Texas in solar-generated electricity under contract.