2023 in review
The District recognized adequate margin to cover expenses and fund planned investments in the power system that reliably serves our customers. We reduced long-term debt by $4.6 million and invested $9 million in system assets. The District is dedicated to providing reliable, dependable and affordable energy to its customers. Our strong financial position today will support these goals into the future.
Dawson PPD continued a trend of robust financial performance in 2023. A specific notable achievement was the upgrade of our bond rating by Standard & Poor’s, which has improved from an A to A+. This upgrade reflects confidence in the district’s finances, marked by consistent improvements in several key financial focus areas.
Service territory and revenue
We served an average of 23,400 customers, up from 23,279 in 2022. The irrigation segment recognized the largest percentage increase in customers served.
Irrigation sales were strong in 2023. The sale of 180 million irrigation kilowatt hours was the second highest of the last ten years. The residential segment contributed the highest percentage to total revenue at 43%. Total revenue among all rate classes was $68.4 million on the sale of 595.4 million kWh.
Cost of Power and Operating Expenses
The cost of purchased power accounted for 51% of total revenue. We continued to receive a power cost adjustment (PCA) which has helped to keep this number relatively consistent since 2020. Operating and maintenance expenses (non-purchased power) of $15,282,000 accounted for 22% of total revenue. This percentage is unchanged from the previous two years.
Electric Power Distribution System Investment
Dawson PPD is committed to the quality and reliability of our electric power system. We maintain a working plan of investment several years into the future. Over the last decade we have invested $97 million back into our system. We invested $8 million and $9 million in 2022 and 2023 respectively. Our strong financial position allowed us to make these recent investments without issuing new debt. In addition, we were able to invest cash reserves to take advantage of higher market interest rates.
![Dawson PPD 2023 kWh sales by rate class Dawson PPD 2023 kWh sales by rate class](https://dawsonpower.com/wp-content/uploads/2024/06/kWh-rate-class-sales-graphic-2023.png)
![Carmen Ackerman](https://dawsonpower.com/wp-content/uploads/2022/11/Carmen-Ackerman-2022-web.jpg)
Carmen Ackerman
Manager of Finance & Administration
OTHER NEWS
BETWEEN THE LINES: What does reliability cost?
April 2021 By Gwen Kautz Dawson PPD General Manager gkautz (at) dawsonpower.com 308-324-2386 What does reliability cost? It’s never big things that break us – it’s always the little things. My adoption of “it’s always the little things” stems from scripture in which...
Honey hobbyist connects learners with nature
April 2021 “I’ve always had an appreciation and respect for nature,” said Amy Hill, Central Community College Regional Director at the Lexington Center. Her appreciation for and awareness of bees was heightened when her son was involved in an Entomology project...
Rate increase to take effect with May billing
Dawson Public Power District rates will increase this spring. Overall, the increase will be 1.85%. The percentage varies by rate class. Residential customers will see a 1.75% increase in their electric rates. This includes a $1 increase to the distribution charge and...