TVA rates to drop 1.5 per cent

The Tennessee Valley Authority announced that it will cut wholesale electricity rates by 1.5 percent next month, more than offsetting the 1 percent fuel cost adjustment increase implemented this month.

TVA spokesman Scott Brooks said the average residential customer in the Tennessee Valley should save $1 to $2 in February.

In Chattanooga, EPB estimates that an average household using 1,461 kilowatt-hours of electricity will save $1.70 in February.

“We’re expecting temperatures to moderate in February and be back near normal,” Brooks said today. “That should reduce the amount of the more expensive purchased power we buy on the market.”

TVA adjusts its rates monthly to reflect changes in what it pays for coal, natural gas, nuclear fuel and power purchased from other utilities.

Even with next monthÂ’s reduction, however, wholesale power rates will still be up by more than 20 percent from February 2009 because of changes in the fuel cost adjustments. Rates still are below the peak reached in October 2008.

TVA has not changed its base rate for operations and maintenance since October 2009, Brooks said.

Related News

berlin powerlines

Nine EU countries oppose electricity market reforms as fix for energy price spike

BRUSSELS - Germany, Denmark, Ireland and six other European countries said on Monday they would not support a reform of the EU electricity market, ahead of an emergency meeting of energy ministers to discuss the recent price spike.

European gas and power prices soared to record high levels in autumn and have remained high, prompting countries including Spain and France to urge Brussels to redesign its electricity market rules.

Nine countries on Monday poured cold water on those proposals, in a joint statement that said they "cannot support any measure that conflicts with the internal gas and electricity market" such…

READ MORE
powerlines

Report call for major changes to operation of Nova Scotia's power grid

READ MORE

working at home at night

Covid-19: Secrets of lockdown lifestyle laid bare in electricity data

READ MORE

electricity lines

Coal demand dropped in Europe over winter despite energy crisis

READ MORE

germany coal plant

Germany is first major economy to phase out coal and nuclear

READ MORE