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Old 06-28-2008, 06:36 AM   #1 (permalink)
Rick
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Electric utility cut offs up 40%

Electricity shutoffs up 40% in hard times, intense heat

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More Arizonans are paying their electricity bills late and having their power cut off, a problem that could worsen for families with the approach of summer's most intense heat - and highest bills.

Nearly 56,000 households in Arizona Public Service Co. and Salt River Project territory fell far enough behind on their bills to be cut off from power from January to May, a 40 percent jump from a year earlier, according to the utilities.

Most of the increase came from SRP territory, where the number of disconnects is up 64 percent for the year. APS hasn't cut as many people off but has seen double-digit increases in the number of those getting a final 24-hour notice and seeking payment extensions, officials said.

"You're going to seen an increase in a downturn," said Michael Lowe, SRP customer-service manager. "The fact that we have more people (being disconnected) is a little more indicative of some of the pain that customers are feeling."

Most people pay their bill and are reconnected within a day of weathering 100-degree or higher temperatures without air-conditioning or even a ceiling fan. But utility statistics reveal some startling trends linked to the region's poor economy.


• SRP officials estimate that one-third of disconnected properties are empty. That could represent several scenarios, including people who moved and didn't pay their bills, risking credit damage, or owners who abandoned the homes.


• APS reports a 36 percent increase in the number of people seeking payment extensions or other special arrangements to keep the lights on.


• Arizonans getting help paying their bills from the federal Low-Income Home Energy Assistance Program on average need $336 to catch up on electric bills. That is $97 more, or 40 percent above what the average participant needed a year ago.


"We are getting calls every day from families who are in various states of crisis and looking for support," said Cynthia Zwick, executive director of the Arizona Community Action Association. The non-profit agency's offices help distribute low-income assistance funds from utilities and the Department of Economic Security.

"Just about every utility in the state has gone for a rate increase in the past year," Zwick said. "So, while utility rates are going up, wages are not keeping pace with the rising costs of food, utilities, gas and transportation."

Despite the health risks of shutting off electricity for people when excessive-heat warnings go into effect, the Arizona Corporation Commission, which oversees public utilities, does not track utility disconnections, spokeswoman Rebecca Wilder said.
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