Appalachian Power Company has filed a request with the Public Service Commission of West Virginia for a revenue increase of almost $115,000,000. If approved, the request would raise rates in West Virginia by 7.85%, and by 11.1% for residential customers.
Chris Beam, Appalachian Power president and COO, said “Today we submitted a request to the Commission in which we present our costs of providing safe and reliable electric service to our customers. It includes the cost of maintaining and improving utility infrastructure, higher state and local taxes, a reduction in federal income taxes and significantly lower customer usage.”
According to Appalachian Power, around half of the requested increase is due to a significant decline in the amount of electricity used by people.
Appalachian Power says electricity usage has been declining for the last several years. For residential customers as a whole, electricity usage has dropped by 14% since 2013. The number of residential customers has also declined, dropping by 11,000 since 2013.
The company says major infrastructure investments they have made in the last several years is also driving the need for increased rates.
Appalachian Power says rates will not be put into effect until approved by the Commission, which can take up to 300 days to make its decision.
The average monthly bill for the various classes of customers will be changed as follows:
|Class||$ Increase||% Increase|
The company also says it is proposing changes to its rate structure that would help to reduce high winter electric heating bills and seasonal bill volatility for residential customers.