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Wednesday, April 25, 2012
Rate Increase for Appalachian Power Appalachian Power filed a request with the Virginia State Corporation Commission to increase the fuel factor component of rates to reflect the higher cost of fuel. The fuel factor is aimed at dollar-for-dollar recovery for the cost Appalachian Power pays for fuel like coal or other purchased power which includes wind generation purchases. They claim there is no profit in the fuel factor that they are only addressing the growing imbalance between what the power company pays for fuel and what they collect from customers. The proposal would increase overall rates about 9 percent while residential rates would increase about 7 percent. Some higher-usage industrial customers could see larger increases depending on usage. Company officials say they don’t expect any more rate changes this year. (bg)
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