With summer temperatures soaring, many areas of Texas are experiencing air quality issues. While several factors, such as transportation and manufacturing, contribute to pollution, the topic frequently raises questions about electric generation.

The facts may surprise you. Since 1985, electricity use in Texas has risen by 30 percent, outpacing the nation as a whole and most states in the south. During that time frame, Texas has reduced its emissions of carbon monoxide, nitrogen oxides, particulate matter and volatile organic compounds.

Different types of electric generation have varying impacts on the environment. Overall, First Choice Power’s electric portfolio is made up of natural gas sources, which produce fewer pollution-causing emissions than coal-fired plants. However, maintaining reliable electric service requires the efficient use of many fuel resources – natural gas, coal, lignite, renewable and nuclear – to generate electricity, and all play some part in our energy portfolio. The cleanest sources of electricity come from renewable sources such as wind, solar and geothermal. These sources generally cost slightly more than traditional sources but have the advantage of helping the environment and don’t deplete finite sources such as fossil fuels.

In response to customer interest in renewable energy, First Choice Power plans to offer renewable energy in selected areas during the coming months. Watch your mail and e-mail to see if this product is offered in your area.

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Eight Partnership Grants Awarded to Nonprofits

The First Choice Power Fund, a division of the PNM Resources Foundation, recently awarded Partnership Grants to eight charitable organizations in Texas.

Partnership Grants of $5,000 or more are awarded annually to nonprofits in areas focusing on education, the environment and economic vitality. The goal is to build stronger communities and help meet those with the greatest needs.

Grant recipients for 2006 included:

• Bosque Memorial Museum, Horn Shelter Education
   Project to educate elementary school children of Bosque County about the historic significance of the oldest known PaleoAmerican burial site in Central Texas.

• Brazoria Heritage Foundation, Habitat Garden and Environmental Classroom to create a mini native ecosystem garden with an environmental classroom to provide space for instruction and experiments. 

• Chisholm Trail Retired Senior Volunteer Rockin' Readers to improve the appreciation of reading for kindergarten and first-grade students in the Denton County area by purchasing books and other materials.

• Gulf Coast Wildlife Rescue Educational Materials to update educational materials used to teach about topics such as responding to injured wildlife, preserving the environment and dealing humanely with nuisance wildlife.

• Junior Achievement of Brazoria County Effort for At-Risk Students to help teach about topics such as basic money management and career investigation.

• Keep Pearland Beautiful, Trees for Pearland to provide roadway landscaping projects and establish an environmental educational center to teach about the importance of trees to the environment.

• Nocona Grace Place Emergency Assistance Program to help people with emergency housing, utility bills and food assistance. 

• Sweeny United to help purchase materials for home repairs for the elderly, disadvantaged and disabled.

More information on Partnership Grants is available at www.FirstChoicePower.com/Partner.

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Making Sense of Your Cents per kWh

In Texas, the Electricity Facts Label is a "price tag" all electric providers are required to provide to help you understand what you're paying per kilowatt-hour, or kWh. 

That seems simple enough on the surface, but questions sometimes arise when the average price per kWh shown on your bill or quoted when you enroll for service doesn't match up with the Electricity Facts Label. Several things contribute to this difference.

First, the price on the Electricity Facts Label reflects the average price during a year. Because some – but not all – rate plans charge a different price per kWh based on usage and time of year, the average price for any single bill may be slightly more or less than this average. The Electricity Facts Label will advise if you're on a tiered or seasonal plan.

It's also important to know that the Electricity Facts Label includes the monthly base charge. What's not included in the average price calculation are taxes and nonrecurring fees, such as late payment and disconnect fees. 

Here's an illustration of the calculation behind the figures. The average price per kWh in the example below uses a residential rate of $0.138 per kWh combined with a monthly base charge of $4.95. 

Here is how it is calculated for 1,000 kWh: 

A. Price per kWh $0.138
B. kWh 1,000
C. Monthly Base Charge $4.95

Calculation: 
((A times B) plus C) divided by B
(($0.138 X 1,000) + 4.95) / 1,000 = $0.14295 or 14.295¢

This figure is rounded to $.143 or 14.3¢. That’s your average cost per kWh.