Part of Grid Network »

The Grid Professionals Group covers electric current from its transmission step down to each customer's home. 


Appalachian Power seeks rate increase for transmission improvement costs

DW Keefer's picture
Journalist Independent Journalist and Analyst

DW Keefer is a Denver-based energy journalist who writes extensively for national and international publications on all forms of electric power generation, utility regulation, business models...

  • Member since 2017
  • 277 items added with 263,047 views
  • Mar 11, 2021

Appalachian Power is asking Virginia State Corporation Commission (SCC) for permission to recover electric transmission infrastructure improvement costs.

In its filing, Appalachian Power asked to increase the authorized Transmission Rate Adjustment Clause (T-RAC) from $225.1 million to $337.7 million, a $112.6 million increase. The T-RAC recovers costs for transmission services, fees and new construction. Appalachian is investing in transmission infrastructure to improve grid reliability and accommodate the anticipated growth of renewable generation.

If approved by the Commission, the change would increase the monthly bill for a residential customer using 1,000 kilowatt-hours by $11.52, or roughly 11%, effective in July.

Rate adjustment clauses (RACs) allow Appalachian to adjust parts of the bill periodically for specific costs not included in base rates. The utility's filing was made to cover an increase in Network Integration Transmission Service (NITS) Charges administered by PJM, and an expected decline in revenues in the company’s base rate charges. 

Appalachian Power has 1 million customers in Virginia, West Virginia and Tennessee, and is part of American Electric Power.

DW Keefer's picture
Thank DW for the Post!
Energy Central contributors share their experience and insights for the benefit of other Members (like you). Please show them your appreciation by leaving a comment, 'liking' this post, or following this Member.
More posts from this member
Spell checking: Press the CTRL or COMMAND key then click on the underlined misspelled word.

No discussions yet. Start a discussion below.

Get Published - Build a Following

The Energy Central Power Industry Network is based on one core idea - power industry professionals helping each other and advancing the industry by sharing and learning from each other.

If you have an experience or insight to share or have learned something from a conference or seminar, your peers and colleagues on Energy Central want to hear about it. It's also easy to share a link to an article you've liked or an industry resource that you think would be helpful.

                 Learn more about posting on Energy Central »