Line Extension Credits
While it is the practice of most utilities to charge the customer upfront for the build-out of infrastructure, cooperatives like Columbia REA have a different philosophy. We apply an upfront credit which varies by rate class to the total cost of construction, In addition, if all the costs of service installation are not covered by the line credit, Columbia REA provides the customer the option to finance any balance less the credit and amortize it up to a 10- year time period.
In many cases, this credit allows development to actually take place. With the rising cost of construction, this policy facilitates the project to move forward. The idea is to aggregate the benefit of expansion for the membership while minimizing risk for the individual member.