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CPS Energy, the city-owned power utility, has decided to drop its quest to increase rates through approval from the San Antonio City Council. But efforts to do so again, may resume next year.
With San Antonians already facing higher grocery bills and gas prices, CPS Energy decided the time wasn’t right to ask customers to pay more.
"We decided to defer a rate review at this time," said a statement from the utility. "We recognize the financial pressures facing our customers and will continue to implement efficiencies and cost-saving measures while maintaining safe, reliable service."
"We have deferred two rate reviews and will revisit the need for our next rate increase in mid-2027. In the face of 20% cumulative inflation over the past five years, CPS Energy continues to hold the line on costs for our customers. Rate support continues to be necessary to improve infrastructure for our community," the statement said.
CPS Energy has said rapid population growth, energy demand and aging infrastructure are among the main reasons a rate hike will be needed in the near future. The San Antonio City Council on Dec. 7, 2023, approved a rate increase of 4.25% by CPS Energy. It went into effect on Feb. 1, 2024, and is the last rate hike on record.
Texas Public Radio reached out to CPS Energy for a comment on its rate plans but did not get an immediate response. The utility has undergone some changes at the top this year. Frank Almaraz was recently named the president and CEO of CPS Energy, replacing Rudy Garza.
CPS Energy has assistance programs, like the Casa Verde Weatherization Rebate Program and Affordability Discount Program (ADP). They are designed to support low-income and vulnerable residents. The utility reports that those in need can contact the customer service line at 210-353-2222 for energy bill assistance, payment plans, and additional information about customer programs.
CPS Energy calls itself the nation’s largest public power, natural gas, and electric company with 970,000 electric and 390,000 natural gas customers in San Antonio and parts of seven nearby counties. They assert their energy bills rank among the lowest of the top 20 largest U.S. cities.
