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Fairbanks Utility Seeks Rate Hike for Steam Heat
The company that provides steam heat to downtown Fairbanks customers wants to nearly double rate.
FAIRBANKS, Alaska- The company that provides steam heat to downtown Fairbanks customers wants to nearly double rate.
Aurora Energy is seeking permission from the Alaska Regulatory Commission for a 95 percent rate hike. Customers who now pay $10.50 per 1,000 pounds of steam will see that price increase to $20.45 if the rate increase is approved.
Company president A.L. "Buki" Wright says there hasn't been a rate increase in 28 years, and the current rate only covers half of the cost of providing the service.
Aurora Energy is seeking to implement the new rate on Jan. 23 on an interim basis while the commission decides.
The company provides steam to downtown customers from its power plant on First Avenue through an underground network.