Cooperative members share the benefits, but also the costs.

As the CEO of your electric cooperative, I wanted to personally address upcoming changes in our rate structure. Price adjustments are decisions that your cooperative leadership never takes lightly. We understand the burden that any increase places on you, and we know that costs across the board for nearly everything keep rising. 

As an electric cooperative, we are not immune to these same rising costs, and inflation is a primary driver behind the need for this increase. By scrolling below, you can see a graphic illustrating how the cost of everyday items we need to keep your power on has risen dramatically over the past few years. 

We have not had a rate adjustment since 2023, and we’ve made every effort to keep this increase as minimal as possible. Effective March 1, 2026, the service charge that every residential member pays will increase by $3 per month. (This change will be reflected in the bills you receive in April.) 

What is the service charge?
The service charge is a flat monthly fee that funds the backbone of your electric service, regardless of how much power you use. Just like you do for your home or car insurance, you pay for access to the benefits. Even if you don’t turn on a light at home, we must still maintain our equipment so power is available to you 24/7/365. Our service charge pays for: 

• Infrastructure essentials: Poles, wires, substations, transformers, and meters.
• Ongoing maintenance: Tree trimming, pole testing, repairs, and upgrades to prevent outages. 
• Long-term stability: Interest, depreciation, and investments that keep the grid strong against storms and growing demands. 

Recovering costs through fixed charges helps to secure the financial stability of your cooperative, and we also know it is the most fair and equitable way to recover expenses beyond the purchase of power and the costs to move that power over long distances before we can deliver it to your home. While we know that any increase will be painful, we hope that you understand that this type of adjustment will mean a predictable change needed to maintain the reliable electric service you expect. 

As the cost of materials and the overall cost of doing business continue to rise, so will the service charge in the years to come. These rising costs should be shared among all consumers, given that they relate to investments in the infrastructure needed to deliver electricity to all members. We are working with our new equipment supplier to help stable the cost of materials in the future.

Generation costs remain stable
While we’ve had to implement a modest increase in our service charge, there is good news when it comes to the overall affordability of power and the impact that will have on our members’ bills in 2026. While some of Ohio’s investor-owned utilities are implementing significant rate increases because of how they purchase power in a volatile wholesale market, our ownership in Buckeye Power means that generation charges should remain relatively stable.

Weather is a major factor in your bill
While I can predict with some certainty the overall cost of providing service and how that impacts our service charge, as well as the near-term cost of power generation, a major driver of whether Hancock-Wood’s average residential bills will be higher or lower this year is actually fairly unpredictable — and that is the weather. Many of our members experienced higher-than-normal usage in the summer of 2025, and therefore, saw higher bills. In a year when summer weather is more typical for Ohio or perhaps even cooler, that could translate into lower bills.

Our bottom line is looking out for you

We get it — no one likes seeing their bill go up, and we’re empathetic to the real needs in our communities, from fixed-income families to growing farms. That’s why we’re offering help: 

• Free energy audits to spot savings opportunities. 
• Information on improving energy efficiency through this magazine and our website.
• Rebates on energy-efficient appliances and upgrades. 
• Budget billing to even out seasonal spikes. 
• Payment plans and aid for those in a bind. 

Hancock-Wood Electric Cooperative isn’t a corporation chasing profits — we’re your neighbors, investing in a co-op that serves our communities today and tomorrow. Even with the increase in our service charge, Hancock-Wood will remain one of the most competitively priced electric utilities in Ohio. We are proud to serve you, and I assure you we are committed to providing you with reliable power at an affordable price.