As a cooperative, we’re committed to providing you with safe, reliable power, at the lowest possible cost. We’re also committed to billing transparency, which is why we offer a detailed monthly statement that breaks down and defines the different components of your bill.
Many of our members are surprised to learn that the rates set by South Central Power actually only account for around 30% of the average residential bill. The remaining portion of the bill is made up of taxes and the generation and transmission charge, which represents roughly 65% of the average bill.
So what is the generation and transmission charge? It is essentially a pass-through charge to cover the costs of the power we purchase on your behalf, and our costs to access the regional power transmission system and get your power from where it is generated to our distribution system closer to the point where it is needed. For the sake of simplicity, we’ve traditionally rolled these two separate costs into a single line item on your bill.
However, to improve transparency and understanding around the charges on your bill, starting as early as October, instead of a single consolidated charge for “generation & transmission,” you’ll see two separate line items representing each of the two components, one labeled “generation” and one labeled “transmission.”
How will this impact my bill?
This is not a new charge or a rate increase. It will not increase your bill in any way. It only separates two different costs that were previously one line item into two line items. If you add the “generation” charge plus the “transmission” charge on your new bill, that sum will equal what we would have previously charged you on the old bill format as “generation & transmission.”
Why are you making this change?
This is a way we can present our bills, and the breakdown of costs you pay for your power, with more detail and transparency than before. It also mirrors how large investor-owned utilities bill for power in Ohio, with separated line items for “generation” and “transmission.”
How can I understand other charges on my bill?
Each bill you receive includes a breakdown of individual line items and charges, as well as any special riders, depending on the details of your service with us. The bill front also includes an explanation of terms. If you log into our website or app, you can find even more information including a breakdown of your usage over time, calculators to help you estimate savings opportunities and more.
From the September 2025 issue of Ohio Cooperative Liviing.