City of Claremore

Following guidance by its wholesale power supplier, the Grand River Dam Authority (GRDA), the City of Claremore anticipates higher electric costs this summer.

The increased costs of power and fuel, combined with high customer usage over the summer, are expected to result in increased energy costs.

“Although the City of Claremore and GRDA have no control over these rising costs, we want to inform Claremore electric customers as early as possible so that they may plan for and budget for the increased costs and practice energy conservation,” said Claremore City Manager John Feary.

For many utilities, including GRDA, natural gas remains a primary fuel source for power generation. Just as fuel costs have increased at the pump, those same increased costs are also felt by electric generators.

According to GRDA, natural gas markets in the month of May were up 291 percent, as compared to May 2021. They were also much higher in the month of April as compared to last year. The U.S. Energy Information Administration advises these high market prices for gas are not anticipated to drop anytime soon due to factors including higher summer temperatures, electricity demands and the War in Ukraine.

GRDA utilizes a power cost adjustment (PCA) mechanism to calculate the variable costs of energy production. GRDA utilizes a beneficial mixture of generation resources, including coal, wind and hydropower, and a 12-month rolling average to help with some of the variability. The PCA rate is passed to consumers and the City of Claremore does not profit from it.

Information on summer energy conservation tips can be found on the Energy Efficient Claremore page and more information about rising costs is available via the American Public Power Association.

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