What is SCRF and why is it on my bill?

SCRF is Securitization Cost Recovery Factor. In February 2021, NVEC incurred significant power costs resulting from extreme weather during Winter Storm Uri. In May 2021, the Texas legislature adopted SB 1580, which enables electric cooperatives to use securitization financing to recover the extraordinary costs. This type of financing will allow NVEC to spread the costs over an extended period and keep the monthly bills lower than they would be if alternative financing were used instead. The costs incurred during Winter Storm Uri are too significant to be paid from operating funds. Financing is the only option.

A securitization charge will be added to monthly bills on a per kWh basis to repay the bonds. The securitization charges will remain in effect until the bonds are paid in full. This charge is subject to periodic adjustment to ensure we collect sufficient funds to pay the principal and interest on the bonds.