November 2026 Rate Changes
Maintaining Reliable Power While Managing Rising Costs
Beginning in November, NOVEC will implement changes to both its distribution rates and Power Cost Adjustment (PCA). These adjustments are necessary to ensure we can continue providing the safe, reliable electric service our members expect while addressing significant increases in operating and power supply costs.
NOVEC has worked hard to delay increases for as long as possible. In fact, distribution rates were last adjusted in 2023. Since then, however, inflation has continued to affect nearly every aspect of our operations. Consumer prices have increased by more than 2% annually since 2023, driving up the cost of equipment, materials, labor, contractor services, and other expenses required to maintain and improve the electric system.
This will be a two-part increase, one for the PCA and one for the distribution charge.
The PCA adjustment is driven by rising power supply costs. The charge covers the cost of electricity that NOVEC buys on the wholesale power market, and also includes the Halifax Biomass Electric Generation Facility, transmission costs, capacity, and power purchase agreements, among other costs. This PCA adjustment also helps make up for higher costs experienced during Winter Storm Fern earlier this year. As a not-for-profit cooperative, the PCA charge is passed on to NOVEC members without markup.
The distribution charge covers the cost of delivering electricity to each individual home and business. This includes infrastructure and equipment like poles and wires, vegetation management programs, and labor costs for the NOVEC employees and contractors that maintain the local grid and keep the Cooperative operating efficiently and reliably.
For an average residential customer using 1,000 kWh of electricity per month, their bill would change from $145.29 to $158.64, an increase of $13.35. More detailed information about these changes is available on our PCA webpage.
