[caption id="attachment_216689" align="alignleft" width="220"] JJ Velasquez, Editor[/caption]

How will my electricity bill be affected by new Austin Energy rates?

New Austin Energy rates went into effect Jan. 1, and the average electric utility customer will see a decrease in his or her annual bill.

In our September edition, we reported on the new structure for Austin Energy’s rates and fees approved after a seven-month-long public rate review process. The utility worked with several local entities to reduce its revenue requirement by $42.5 million.

Austin Energy is transitioning from seasonal base rates, which were higher during the summer, to a base rate that is consistent throughout the year.

The average residential customer in each usage level, or tier, is expected to save the following amount over a year on his or her electricity bills:

• Tier 1 (460 kilowatt-hours): $4.12
• Tier 2 (960 kilowatt-hours): $34.52
• Tier 3 (1,471 kilowatt-hours): $69.30
• Tier 4 (2,459 kilowatt-hours): $50.77
• Tier 5 (3,451 kilowatt-hours): $9.69