Little taste of my subsistence crisis theory, this is sad, truly, hate to be right on this one, my ego really doesn't need it. The utility extends payment, do they really think that will help? In the spring it will be gasoline bills, usatoday.com but there's the credit card and home equity loans for that one.
279,190 Xcel customers late with bills Higher natural gas costs, joblessness cited for rise
By Gargi Chakrabarty, Rocky Mountain News February 26, 2004
A record number of Xcel Energy customers were late in paying their bills for December as joblessness and higher natural gas costs took a toll on pocketbooks.
Meanwhile, Colorado's Department of Human Services said a record number of needy households have applied for energy assistance to pay a portion of their bills even as charities are running out of funds.
For December, 279,190 Xcel customers were late paying bills by one day or more, the company reported. This is 78.8 percent higher than the 156,171 in December 2002.
"It is clearly a function of higher cost of natural gas and possibly the continued flat economy," said Xcel spokesman Steve Roalstad.
The utility, which services 1.2 million natural gas customers in Colorado, made a presentation to the Public Utilities Commission on Wednesday.
An average customer paid 84 percent more to heat the home this January compared with a year ago.
Despite the record delinquency figure, the number of customers who faced actual service shut-offs remained modest. For instance, only 42,382 customers were shut off during 2003 - up 42 customers from the previous year.
"Nearly 70 percent of the delinquent customers are late between one and 30 days; we can accommodate their needs by extending the time frame to pay," Roalstad said. "It does no one any good to shut off service."
Xcel voluntarily has expanded the payment period by four days, including weekends.
Late customers who do not make any attempt to contact the company within 45 days could face shut-off notices, Roalstad said. He added that the utility is bound by state laws to try to contact late customers through phone calls, mailings and door-hangers before shutting off service.
Colorado received more than $40 million from federal, state and nonprofit agencies in energy assistance this year. Gov. Bill Owens gave $10 million from the state, and the federal low-income energy assistance program, known as LEAP, kicked in nearly $29 million.
Energy Outreach Colorado, a nonprofit organization supported mostly by Xcel and Xcel customers, contributed another $2.15 million. Of that, $36 million is earmarked for assistance with bill payments and $4.2 million for weatherizing homes.
The Human Services Department received a record 100,308 applications seeking energy assistance as of Feb. 19, said Glenn Cooper, program manager for the department, which distributes LEAP funds to needy customers. That is 17 percent more than a year ago.
"We are getting more clients than I have ever seen; they are coming in droves with no sign of slowing down," Cooper said. He noted the department has helped 68,464 households.
At this rate, Cooper expects to help 97,000 households this winter compared with 83,000 a year ago. An average household received $328 this year, up slightly from $302 the previous year.
"The main factor is heating costs; Xcel's rates went up 73 percent this winter, for no fault of theirs, causing a lot of people to stretch their available dollars," Cooper said. "The low-income people are having to pay a lot more for heat, and they are seeking help."
Jefferson County residents Irene and Robert Buck, both 74, are struggling to pay their bills.
Living on Social Security that pays about $1,500 per month, the Bucks couldn't keep up with their rising bills. They owed a total of $505 to Xcel in January.
They avoided a shut-off when the Human Services Department paid $138 on their behalf; still, the Bucks worry about the next bill.
"Oh God, my wife worries about it all the time," said Robert Buck. "We know the bill will go up again next month. I have called some charities, but most have run out of money. Hopefully. someone will help us." |