Utah utility raises electricity rates by nearly 10 percent

The Kaysville, Utah City Council recently voted to increase the city's electricity rates by 9.65 percent, which will go into effect on November 1, the Utah Standard Examiner reports.

The rate hike comes after weeks of talks with the public about why the higher electricity rates are needed. When asked by residents, city officials said the funds would be used to pay for a deficit in operating costs, hire new police officers and raise cash reserves to 90 days of operating costs.

"I feel like we have to do this because of the costs to the power company," said Councilman Mark Johnson. "Also, I don’t take it lightly that we are transferring some funds from the general fund for the support of police, but I feel very strongly that we need to have additional police … but I also think that, in coming years, that maybe could be shouldered by a property tax increase."

Utah is among the states that are holding out on introducing energy deregulation laws, despite the success that has been reported in states like Texas, Illinois and Connecticut. In these regions, residents can compare energy prices to determine the best electricity rates in any given area.