IT'S THE WINTER (BASELINE) SEASON

ALAMEDA, Calif., November 1, 2004 — Starting with the November billing cycle, the next six bills you receive on a residential account will be at Winter Baseline rates.

Most of our customers (about 90%) are separately metered homes, apartments, and condominiums. We serve these customers under our D-1 schedule, which includes a "Baseline" rate. The Baseline rate gives household customers ample energy at a low price for heating, lighting, and cooking.

The California Public Utilities Commission (CPUC) designed Baseline rates for investor-owned utilities. Although not overseen by the CPUC, Alameda's Public Utilities Board also has adopted a two-tier Baseline rate structure.

Power for lighting, heating, and cooking should fall in the first tier (called Baseline). The second tier is for other energy uses and is at a higher rate.

The Baseline amount increases during the winter months to account for seasonal changes in energy needs. The best example is lighting. Because winter has many more hours of darkness, we need to switch on our lights for longer periods of time.

The State says Baseline is, "...the significant portion of the reasonable energy needs of the average customer." It should be about 50 to 60% of your monthly use.

The average Alameda household consumes approximately 423 kilowatt-hours per month during the winter (November through April). For this electricity, the typical Alameda Power & Telecom customer pays $49.95, not including taxes. (This is a $6.02 savings compared to our neighbors across the Estuary!)

If you have permanently installed electric space heating as your primary heat source, you are entitled to a higher Baseline quantity. Check the upper right-hand corner of your portion of your latest Alameda Power & Telecom bill. You will see the words "Rate Code." Rate Code "D1B" means that you have basic electric service and get 271 kilowatt-hours at our lowest household rate during winter. "D1H" means that you have electric space heating and get 578 kilowatt-hours at our lowest household rate.

If anybody in your home depends on electrically powered medical equipment, you may be eligible for a Medical Discount. The Medical Discount may be either 10% or 15% of D1 Rate Schedule charges, based on household income. A doctor must certify all applications to qualify your account for this special rate.

If you have any questions about your Baseline amount or to sign up for the Medical Discount, please call our electric Customer Service Representatives at 510-748-3900.