Benefits

ouc1 cps3 cps2

Communities that have formed their own electric systems have come to recognize the benefits of public power: not-for-profit rates, local governance and responsiveness to community needs.

Public power not-for-profit electricity prices include only the costs of producing and delivering power to the consumer. In contrast, investor-owned utility rates are set to include profits paid to people who hold stock in the company. The result is that, on average in the United States, public power has the lowest rates in the electric utility industry. Customers served by LPPC members pay on average 10 percent less per kWh than the national average.

Print

Since a public power electric system is locally governed, decisions about policies such as rates are made by community leaders who are in touch with local concerns. The city council sets policies for many public utilities, while others have a separately elected or appointed utility board that governs utility policies. Local governance helps ensure that the utility responds to community needs.

Additionally, because public power utilities are community based, their revenues stay close to home and utility policies promote economic development and investment in the community, helping keep the local economy strong.