Appalachian Power has filed its annual fuel factor update with the Virginia State Corporation Commission (SCC) and is requesting an increase in the fuel rate for its Virginia customers.
The utility says, “Fuel costs are the portion of a customer’s bill used to recover the cost of natural gas and coal used in the generation of electricity, as well as the cost of purchased power.”
The SCC reviews the company’s fuel rate each year to determine whether it should be increased or lowered. Fuel costs are about 20% of a residential customer’s electric bill, according to Appalachian Power.
For a customer using 1,000 kilowatt-hours in a month, that would result in an approximate $3 increase per month.