Add comments, ask questions, get answers

Please add your comments and questions below. You can post anonymously if desired. Thanks, Eric B

2 responses to “Add comments, ask questions, get answers”

  1. What is your view of Lowell Light and Power?

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    1. I am a huge supporter of LLP! Charlie West, LLP’s general manager, was kind enough to meet with me this week to discuss LLP. He reached out to me after visiting my website. Over an almost 2 hour meeting, he explained everything from why LLP exists to their financial details. I am totally impressed. Charlie is passionate about serving customers well! Below is a summary:

      *LLP is a non-profit municipal public power entity that exists to serve it’s customers. It’s goal is to provide reliable power at a reasonable rate.
      *Selling LLP has been considered over the years, but the citizens of Lowell voted to keep it local!
      *For profit monopolies (Consumers and DTE) and cooperatives would love to buy LLP and raise rates!
      *LLP’s Board of Directors (Perry Beachum, Andrew Schrauben, Tina Siciliano-Cadwallader, Daniel Crawford, and Craig Fonger) guide the group and set rates based on helping the customer and sustaining the business. I have attended a couple of board meetings and watched others, and they can go long. Thank you to the Board Members for their dedication!
      *Residential rates are 32% lower than what monopolies and coops would charge. Commercial rates are about 20% lower! Thank you Perry, Andrew, Tina, Daniel, and Craig!
      *LLP is actively working to plan for future energy needs while looking out for the environment.
      *LLP provides $450K in yearly revenue to the City of Lowell (thanks again).
      *Most capital improvements are paid for by yearly budgeting, i.e. not borrowed money.
      *Current projects have been financially strained by the tremendous increase in copper wire and other equipment costs.
      *LLP owns two jet engines connected to generators (in town) that can power most of Lowell in the event of a grid problem. These generators are also on standby in case other areas of the country need help.
      *Electric rates needed to increase 6.5% last year to cover the widespread inflation, but future increases are planned to be modest.
      *The pension liability is common in city and public utilities. Most pensions have been changed into 401K retirement plans, but there are still many active pensioners. The liability occurs because state rules required that pension money be set aside for a new hire that covers them and their spouse for life. This is difficult to estimate and the financial need changes each year. I am not able to explain this well, but I was assured by Charlie West that LLP has a plan to cover their pension needs without large increases in rates. That is good enough for me. If you meet the Board of Directors or the LLP staff on the street, thank them for their service to the citizens!

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