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UDWI Electric Co-Op Reduces Customers' Rates 4 Percent

By Sara Wittmeyer

Posted June 19, 2018

Hoosiers who get their electric from the Utilities District of Western Indiana are going to see slightly smaller bills.

For the first time in more than 25 years, the rural electric co-op board voted Monday night to reduce rates by 4 percent.

UDWI is also reducing the facility charge that all customers pay by $2 and eliminating seasonal rates. Customers will now pay the same price for energy regardless of the season.

"Last year our average customer used about 1100 kwh, but in the summer, in July, that goes up to about 1500 kwh and in the fall it goes down to about 800," says CEO Doug Childs. "And in the past we had higher energy rates in the summer and winter but now our customers will pay the same rate regardless of the month, so it's going to really help them out during the really cold and really hot weather."

Childs says the co-op is able to reduce rates because it's cut $1.6 million from its operating costs in the last seven months.

"We still will be on the higher side, but we certainly shouldn't be the highest in Indiana like we were at one point," Childs says. "Most importantly I think it will give our members the true sense that we're running their system prudently, we're using their money wisely."

Childs took over for former CEO Brian Sparks, who was fired last year amid claims of money mismanagement. There's still an ongoing FBI investigation at the co-op.

Ratepayers will see the change reflected on their August bill.

Childs says the co-op will work to keep the lower rates locked in place for the next three years.

UDWI serves more than 16,000 customers in Clay, Dubois, Daviess, Greene, Knox, Lawrence, Martin, Monroe, Owen, Sullivan and Vigo Counties.

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