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TVA Offices in Chattanooga, TennesseeStaff Photo by Dan Henry/Chattanooga Times Free Press
The Tennessee Valley Authority will boost its fuel cost adjustment by 2.8 percent next month, raising the typical residential electricity bill in Chattanooga by $3.08 in December, according to TVA and EPB.
After three months of cutting its monthly fuel cost adjustment because of lower consumption in the fall, TVA announced today that its wholesale rates will rise by 2.8 percent in December as temperatures cool and power usage goes up.
“We’re expecting power sales to be up 16 percent in December over November (due to cooler weather) and at least half of that increase is likely to come from purchased power which is usually more expensive than our own power generation,” TVA spokesman Scott Brooks said.
TVA adjusts its rates each month according to the projected cost of fuel and purchased power. During periods of higher power demand, TVA must spend more to either buy power from other suppliers on the grid or crank up more of its own, less-efficient gas turbines or older coal-fired units.
EPB Chief Financial Officer Greg Eaves said the typical EPB customer who uses 1,460 kilowatt-hours of power a month will pay 2.11 percent more at the retail level next month, or $3.08 more in their monthly power bill, because of the December fuel cost increase.
Dave Flessner is the business editor for the Times Free Press. A journalist for 35 years, Dave has been business editor and projects editor for the Chattanooga Times Free Press, city editor for The Chattanooga Times, business and county reporter for the Chattanooga Times, correspondent for the Lansing State Journal and Ingham County News in Michigan, staff writer for the Hastings Daily Tribune in Nebraska, and news director for WCBN-FM in Michigan. Dave, a native ...
Lets see here,
In February-"TVA expects to boost debt $962 million in 2012"
In March-"Electric rates going up in March" Electricity rates will rise 2.5 percent.
In May-"TVA power sales down 6 percent" Mild weather in late winter caused less demand for electricity.
In June-"Tornadoes blow up rates for TVA users by 4.5 percent" The typical homeowner in the Tennessee Valley will pay an extra $3 to $6 on next month’s electricity bill to cover the costs of storm-related problems in April and May by TVA.
In August-"TVA cuts fuel surcharge next month but plans rate hike in October" Chattanoogans who sweated paying their electricity bills through the summer heat wave will get a reprieve next month when TVA reverses three months of increases and cuts the fuel portion of its bills.
And of course Yesterday-"Chattanooga-area power rates up 2.8% in December"
Yeah this is a democracy! I mean WTF! No one oversee's these greed mongering entities. They post their overinflated salaries for the world to see and keep passing all the costs on to the consumers. Not to mention the purchases they are making outside of Tennessee. This is the reason the country is going into the crapper. Congrats once again to the wealthy 1% counting cash and throwing nothing back into the bucket. It's the same thing as reaching into the salvation army donation tray during christmas. TVA sucks! I'm sure all the over paid shmucks that work for TVA will post after this and try and justify themselves. Go ahead the facts speak for themselves!!
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