Bellefonte to become working nuclear plant?

TVA Fuel Cost Adjustment faces review of rate structure as monthly electric rates shift with fuel prices; public comment at a listening session precedes board decisions on Bellefonte nuclear plans, energy efficiency, and conservation measures.

The TVA board will consider changing part of its electricity rate structure and upping its spending to explore the controversial possibility of turning its Bellefonte site into a working nuclear plant.

A change in the Tennessee Valley Authority rate structure related to the "fuel cost adjustment" formula is up for discussion. The formula today changes the electric rates every month, depending on the price of fuel for electricity production.

Under this scenario, the public pays and also is compensated more quickly when the cost goes up or down, especially during spikes like August demand events.

The costs, which are passed on to ratepayers, have repeatedly gone up, reflecting growing pressure for higher rates over the last several months.

TVA's Bellefonte property is on the Tennessee River about two hours southeast of Nashville. Several environmental and anti-nuclear groups have said that the public power producer, which faces federal scrutiny over climate goals and rates, should not commit money to what they say is a costly and risky nuclear plant until energy efficiency and conservation measures are fully explored and implemented.

Ratepayer money is used to back whatever decision the board makes, including recent moves to increase rates and borrowing while cutting costs.

The public can comment at a “listening session” held at 8:30 a.m. EDT before the board meeting on August 20, as TVA plans to review energy options in a series of meetings. To speak, pre-register at www.tva.gov or sign in that morning before the session begins.

The board’s formal meeting starts after the last public comment has been made.

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