A recent increase in rates by the Fayetteville Public Works Commission increased its sales revenues for electricity, water and sewer service in the first quarter of the 2025 fiscal year, even though total electricity consumption declined, the PWC’s board learned on Wednesday.
In an unrelated matter at the PWC’s board meeting on Wednesday, longtime employee Mick Noland, was presented with The Order of the Long Leaf Pine Award. This is among the state’s highest honors. On Monday, the Fayetteville City Council presented him with a ceremonial Key to the City. Noland is preparing to retire at the end of the month.
PWC revenues
The PWC supplies electrical, water and sewer service to much of Fayetteville plus nearby communities. In May, it raised electricity rates 2%, then had a price reduction in September (of about $3.08 per month if a customer uses 1,000 kilowatt hours). Another 2% rate increase is scheduled for this coming May.
The city-owned utility buys most of its power from Duke Energy, provides some electricity to Duke from a natural gas power plant it operates, and generates some electricity from solar power.
According to Deputy Finance Officer Rhonda Graham:
- Electricity sales for the first quarter of the fiscal year — July, August and September — totaled more than $60.6 million, vs. nearly $60.2 million in the first quarter last year. She said the rate increase helped increase the revenue.
- However, overall electricity usage declined in the quarter to 566 megawatt hours from 575. Graham cited two factors: Residential customers used less electricity, and a large commercial customer, Nitta Gelatin, closed its Fayetteville factory this year. Nitta employed 68 people, Business North Carolina reported.
- Water and sewer service revenue totaled $37.7 million in the first quarter, vs. $34.1 million a year ago. Rate increases helped boost the revenue.
The PWC’s overall budget is affected by other factors, such as the credit it receives for providing electricity to Duke, grants and increases in operating expenses, Graham said.
Electric revenues and expenses both have been less than budgeted, she said. Water and sewer service has seen higher sales than budgeted and lower expenses.
Mick Noland honored
Noland worked for 17 years with the state’s environmental management office (which is now called the Department of Environmental Quality), Fayetteville City Councilor Derrick Thompson said as the City Council presented Noland with the Key to the City on Monday.
He was the regional supervisor with a staff of 17, overseeing the issuance of permits authorizing businesses and government utilities to release waste into the air and water, and investigating them when they had spills or other violations, The Fayetteville Observer-Times reported in 1990.
Noland moved to the PWC in 1993, Thompson said.
“During his 31-year career of service at PWC, Mick Noland has led the Water Resources Division in meeting changing regulatory requirements as well as leading his team in winning numerous awards recognizing the Company’s commitment to safe water supply,” the PWC says on its website. “Additionally, he served as PWC’s Interim CEO/General Manager for nearly a year.”
Gov. Roy Cooper approved Noland’s award of The Order of the Long Leaf Pine. Cumberland County Board of Commissioners Chair Kirk deViere presented it to Noland at Wednesday’s PWC meeting.
“We go way back, my friend,” deViere said. “And I truly appreciate all the work you’ve done in this community. Probably a lot that a lot of people don’t know about in your fight for making sure the community had the water that it needed and all the resources that it needed.”
“I really am honored,” Noland said. “The only way you can achieve something like this, is you’ve got a lot of good people you can count on, and know their job, and depend on them.”
Senior reporter Paul Woolverton can be reached at 910-261-4710 and pwoolverton@cityviewnc.com.
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Why an increase by PWC when Duke will be lowering their rates. PWC purchases power from Duke. So we have to pay more..???????