Jackson to be commended for reduction in electric rates

It's not often that government bodies reduce costs to customers, but the Jackson Board of Alderman did just that recently when it reduced electric rates by 11.5% on average.

The reduction was based on a recommendation by 1898 & Co., a subsidiary of Burns & McDonnell Engineering in Kansas City. The city's wholesale price of electricity has decreased, and the reduction takes into account cash reserves built up for maintaining the electrical distribution system.

"Jackson has identified a need to undertake several large transmission and distribution system capital projects over the next four years," according to the 1898 & Co. rate study. "These capital project costs are included in the financial forecast and considered in the study."

Residential customers will see a reduction of 10%, small commercial customers 12.5% and larger commercial and industrial customers 15%, according to reporting by Southeast Missourian business editor Jay Wolz.

The reduction is schedule to begin in July.

It's good for government bodies to periodically evaluate charges to customers and reduce them where warranted. We applaud the city for doing this and taking the appropriate action.