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P. O. Box 3711
204 Broad Street
Martinsville, Virginia 24115
Toll Free: 800-234-6575

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SCC OKs Appalachian Power rate adjustment

Thursday, March 20, 2014


Appalachian Power Co. customers can expect to see their bills increase in May.

The State Corporation Commission (SCC) said Thursday that it has approved Appalachian’s request to recover $48.6 million in increased costs associated with electric transmission services provided to the utility.

The rate adjustment, called a Transmission Rate Adjustment Clause or T-RAC on customer bills, will become effective in May, according to a news release. The new charge will increase the monthly bill of a residential customer using 1,000 kilowatt hours of electricity by approximately $3.88, or 3.5 percent, the release said.

In a Dec. 18 application, Appalachian requested an increase of $49.9 million. Following an investigation by the SCC’s staff, the company and staff agreed to a lower revenue requirement for the transmission costs of $48.6 million, according to the release.

Under Virginia law, utilities may seek SCC approval to recover, through a rate adjustment clause, certain costs for transmission services provided by a regional transmission entity.


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