The increases are part of a tiered rate system approved Tuesday by the state Public Utilities Commission. The PUC's goal is to reduce electricity usage, especially during peak- demand summer hours.
Processors say that reducing power use in food handling is no easy task.
For example, products have to be kept cool. And the need for refrigeration is greatest on hot summer afternoons when the new rates are the highest. We were expecting a couple of cents across the board, we could live with that. But, he said, because the business involves freezing farm products, it still must use large amounts of electricity during times of peak demand. That means the company might have to raise prices, which puts it at a competitive disadvantage in world markets, he said.