'Unintended consequences': Decrease in water usage drives up costs
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EUGENE, Ore. - Eugene Water and Electric Board commissioners are weighing a possible rate increase on utilities for 2013 that would cost a typical customer an extra $15 a month.
As of now a possible increase breaks down to an 8 percent increase for electricity and 30 percent for water.
EWEB says the reasoning behind rising water costs is a 20 percent decrease in consumer consumption over the past four years.
"The problem with declining water consumption is we have really high fixed costs," said Joe Harwood, a spokesperson for EWEB. "Fixed costs to maintain 800 miles of distributions pipes, a water treatment facility and more than two dozen reservoirs."
Harwood said EWEB needs to raise the costs of water to make up for the loss in consumption so they can pay to continue to run their water facilities.
Some customers understand the increase.
"My first reaction is I was unhappy about that but the more I think about that I think they have to cover their costs," Jerry Oltion of Eugene said. "You know its a public utility, its not EWEB against us. EWEB is us."
Not everyone agrees. Others see the rate hike as a bad time for people during the tough economy.
"Fifteen dollars will be the difference for some people to buy milk for their kids, to put gas in their car, to have their heat turned on," Aloha Heart of Eugene said.
Harwood agreed the timing is bad and knows some customers will struggle to adjust to new costs.
"Right now we are still trying to crawl our way out of a recession," Harwood said. "It's even more difficult to raise rates especial for those who are on fixed incomes."
Maybe they should get rid of Joe Harwood their $75K talking head and make the general manager do the job he is paid highly for?
Looks like EWEB is looking for another way to scam us into paying for the new multi-million dollar compound they built out on Roosevelt Boulevard, just like they did 20 years ago when they spent millions on their new (at the time) headquarters.
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EWEB used to be a public utility service, but the only thing is services now is the unlimited greed of EWEB employees!Â
Another lame excuse by EWEB!
Same thing happened with electricity; people were conserving, so the companies has to raise their rates. The consumer looses no matter what the situation.
Then EWEB needs to lower their fixed costs like the rest of us have. Â Paying more for using less is wrong and they do this because they have a monopoly on us. Â I'm fed up with sky rocketing costs that give the consumer less while charging more. Â
@fromthemomma Same thing goes for gasoline, they push for you to use less, then charge you more for what you use. Buses, ridership goes down so they up the fare. When the private sector makes all the sacrifices that is not fair. I hear this from Obama all the time, this fairness thing. Is it Government employees doing better than the private sector his idea of fairness, I think it is. Why should people continue to pay for something they could only dream of having.
Does not take a rocket scientist to have seen this coming. Look what happened with the price or corn -and corn related products-when everyone thought that ethanol would solve the energy crisis.
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Was it not EWEB that was encouraging everyone to use less water?Â
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I think what EWEB needs to do is just garnishee everyone's bank accounts and wages and send us back what they don't need after they pay their operating expenses. (Notice the sarcasm here I hope?)
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 @Sparky62 Um I think the federal, state and local governments would get their cut first.  It's getting to that point though, we work and hand over our paychecks and we get a small allowance back.  This isn't the kind of government or utility we need.  I can see more people leaving Eugene to go to Springfield or elsewhere, as it is this city isn't real business friendly.
Someone should ask how much they are paying for PERS. You will be amazed, what kind of lavish retirements you are paying for.
 @souptonuts Those are part of the "fixed costs" but those can be changed.  A lot of companies can't afford these things anymore and are taking them away.  As it is I can barely contribute to my 401k, put food on the table and pay my mortgage, something's gotta give besides the wallets of the middle class.
 >>>"Fixed costs to maintain 800 miles of distributions pipes, a water treatment facility and more than two dozen reservoirs.>>>â...Oh, and donât forget to mention that nice fancy building you just vacated on the river, and the new one you just built...... Yeah, stick it to consumers, who are trying to save water and money and who are just trying to survive in this high cost era. But you sure enjoy your new building.Â