FPU announces winter electric rates
Electric consumers will see an increase in their December bills due to TVA’s winter period energy rates and also TVA’s total monthly fuel cost for the month.
According to information supplied by TVA, the higher rates result from projected increases in the amount of energy needed for heating, lighting and other wintertime applications.
The month of November was a transition month that billed at a slightly lower rate. Last month, the average electric use of 1,330 kilowatts (kWh) cost $135.37. In December, the same electric use will increase to a total of $138.08 due to the increases in both the winter energy rate and the fuel cost amount. This is a $2.71 increase on the average electric bill of 1,330 kWh.
“Energy rates are not increasing as much as first predicted by TVA due to the ability to use hydro generation for supplying our electricity,” said FPU CEO and General Manager Britt Dye. “Total hydro generation is expected to be approximately 42 percent higher than last December, which has reduced TVA’s expectations for higher cost generation resources such as coal and natural gas.”
Winter season rates begin on December 1st and remain in place through March 31st. The total monthly fuel cost will continue to change monthly.
“These rate increases affect all of TVA’s power distributors, not just FPU,” says Dye.
“The changes in the electric rates continue to remain revenue-neutral for FPU which means FPU earns no additional funds through TVA’s seasonal rates or its monthly fuel cost adjustment,” says Dye. “The seasonal rates and fuel costs are pass-through increases only.”
For a complete listing of Fayetteville Public Utilities electric rates, visit their web site at www.fpu-tn.com, and click on the rates section. To help electric consumers with their energy costs, FPU offers a budget billing plan to average monthly electric and natural gas bills.