Mayor Schneider Praises Ameren Upgrades

In City, But Can’t Support a Rate Hike Plan

Once again Ameren Missouri is requesting from the Missouri Public Service Commission a rate increase, specifically a 9.65% rate increase, which is designed to increase their revenues about $264 Million . It is estimated to cost the average residential customer about $10.00 per month or about $120.00 per year. Ameren Missouri contends this increase would help to offset higher fuel costs and upgrade their infrastructure. It is being presented as a comprehensive three-year energy efficiency plan to benefit residential and business customers.

Mayor Tom Schneider applauds Ameren Missouri for the equipment upgrades and extensive tree trimming performed in the City of Florissant which he feels has significantly contributed to the increased reliability of electrical service to the city’s residents and businesses.

However, Mayor Schneider cannot support the presently proposed rate increase for several reasons he listed in a press release:

-Ameren Missouri says that they want to offset higher fuel cost which does not make sense when prices for the natural gas, which is one of the preferred fuels for generating electric power, have been steadily falling for several years and fuel at the pump is at lows that have not been seen for years.

-Ameren Missouri has asked and the Missouri Public Service Commission has granted five rate increases in the past eight years. It seems that requesting rate increases (cleverly disguised in popular sounding programs) has becoming an annual event.

-Our nation’s economy still has everyone struggling. After the Great Recession, there is still debate as to whether we are close to the end of the recession, or if we’re at the beginning of the recovery, or if the recovery has stalled, or if this is just the ‘new normal’. It makes little difference because families, seniors, renters and businesses are all still struggling and a 10% rate increase is just too outrageous for them to bear.

-Wages have not kept pace with food, health care and fuel costs … so a request for a 10% increase in electricity from captive customers is beyond frustrating.

“This rate increase is not justified at this time and will most definitely hurt families, businesses and the City of Florissant as a whole,” Schneider said

Mayor Schneider said he called Ameren Missouri Representative Stephanie Robinson, supervisor of Municipal Accounts and Business and Community Relations to let her know that we cannot support this rate increase at this time. The Mayor asked Ms. Robinson to share his suggestion that Ameren withdraw their request out of respect for the social anxiety that our region is experiencing as we focus on rebuilding relationships and bridging divides to heal our community.

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