Fred Clark, president of Alabama Municipal Electric Authority (AMEA) which supplies Piedmont with electricity, announced to the City Council Tuesday night that their electrical rate to Piedmont will increase by 4.34 percent.

Despite that fact, Piedmont Mayor Brian Young said that utility rates will not be increased and that the city hopes to absorb the rate increase without passing it along to consumers.

When asked if any rate increases are planned in the near future, Young said, “No.”

Utility manager Lee Young agreed with the mayor and said no rate increases are planned.

Clark gave a presentation at the meeting that showed the impact of the 1990 Clean Air Bill that Clark says created the rate increase.

Clark said that the 1990 legislation passed by Congress requires installment of emission controls in plants in order to reduce greenhouse gasses.

“Each year as a result of our contractual relationship, Alabama Power Company is paying these costs so we have to pay our share of those costs,” said Clark.

Councilman Eddie Baldwin asked if Alabama Power will suffer the same rate increases. Clark answered that Alabama Power’s rates are parallel to AMEA’s.

“They are experiencing those same costs as we are,” said Clark.

Clark said that it is possible that Piedmont will see a yearly rate increase.

“Although we’re going to mitigate it and it should be relatively lower, one – two percent,” said Clark.

Piedmont residents have seen large increases in utility bills this winter season. Clark said that this year’s cold weather produced record usage numbers at AMEA as well as Southern Company, Alabama Power Company, Co-ops and TVA.

“We all set all-time peaks during the month of January,” said Clark.

He said that the records highs power companies have experienced this year were higher than the 100 plus degree weather in August of 2007.

“Clearly, the month of January was probably a double usage compared to the month previous that impacted those electric bills,” he said.

The council approved the mayor to sign a contract allowing the Piedmont Athletic Booster Club to operate the concession stand at the Piedmont Sports Complex.