Kerrville Public Utility Board customers in Texas will see a flood-delayed rate increase reflected in their monthly electric bills starting Nov. 1. A typical residential customer is expected to pay about $10.41 more each month, though KPUB said its prices will still sit well below the Texas average.
Here's what to know
After delaying the changes in the aftermath of the July 4, 2025, flood, KPUB included rate adjustments in the fiscal 2027 budget approved by its board of trustees, according to The Kerr County Lead.
At the new rate, a home using 1,000 kilowatt-hours a month would have its bill climb to $120.41 from roughly $110 under KPUB's August rate.
For residential customers, the monthly charge will increase from $15.25 to $16.75. The distribution charge will move from 1.680 cents per kWh to 2.088, and the fixed share of the power supply charge will rise from 4.060 cents per kWh to 4.543.
For a household using 1,000 kWh, those changes amount to an increase of 9.5%.
Because KPUB's variable power cost adjustment factor shifts with the utility's real-time power costs, actual bills may come in above or below that estimate depending on usage and market conditions, per the Lead.
TCD Picks » Quince Spotlight
💡These best-sellers from Quince deliver affordable, sustainable luxury for all
KPUB said the updated pricing is based on its cost-of-service study. The utility said it put off those adjustments after the flood to give the community a chance to recover.
More background
Using federal data from June, KPUB said its new residential rate would be about 12.04 cents per kWh, which is roughly 24% lower than the Texas average of 15.94 cents, according to the Lead.
KPUB also said an August survey placed it third-lowest among 29 utilities in Central and South Texas.
The fiscal 2027 budget projects $60.7 million in operating revenue and $60.5 million in operating expenses, the Lead noted. It also includes $7.4 million in cash-funded capital projects, with about $1.8 million expected to be paid for through grants.
What's being done?
Some of that planned spending is intended to strengthen the system after flooding disrupted the area.
At the Hunt Substation, KPUB plans to elevate critical equipment above flood levels, the outlet reported.
The utility is also working to make river crossings and distribution lines more flood-resistant. It plans to install about 11 miles of new fiber for the Guadalupe River flood warning system through the state's Middle Mile grant program.
KPUB said SmartHub upgrades will give customers more tools to track energy use and billing more closely, per the Lead.
In Colorado County, KPUB is developing a 122-megawatt natural gas plant, its first step into owning generation. The utility said the project is expected to begin operating in early September and that having more control over supply should keep rates steadier over time.
"Our strong financial position allows us to continue making essential investments while providing exceptional value to our customers," KPUB CEO and General Manager Mike Wittler said, according to the Lead.
Where can I learn more?
Other utilities are also raising rates or spending more to shore up service.
• U.S. utilities are seeking billions of dollars in rate hikes as households turn to solar.
• A Sierra Club report warned costs could hit ratepayers for North Carolina's Duke Energy.
• PacifiCorp sought to bill customers for $1.7 billion in wildfire damages, prompting backlash.
• In Texas, residents challenged a $4,500 meter demand tied to threatened water shutoffs.
• In Michigan, officials said higher water utility bills were needed to cover rising costs.
Get TCD's free newsletters for easy tips, smart advice, and a chance to earn $5,000 toward home upgrades. To see more stories like this one, change your Google preferences here.
