Double-Digit TVA Rate Hike on the Way

Submitted by Brian A. on Wed, 2008/08/06 - 3:01pm.

Something to look forward to:

The federal utility announced today a double-digit increase in its power rates this fall. The exact increase will be disclosed later this month, but it is expected to be the largest since TVA launched its fuel cost adjustment program in 2006. The program is set up to allow the power provider and its utilities to pass fuel price fluctuations on to customers.

TVA President and CEO Tom Kilgore said Wednesday in a conference call that customers could expect increases in electricity rates similar to those experienced by other utilities nationwide, citing a percentage range in the "mid-teens to mid-20s."

The higher rates will go into effect Oct. 1.

Someone should notify the Congressional Republicans, so they can give speeches before an empty chamber. Undoubtedly, such a protest would drive electricity prices down.

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R. Neal's picture
This is pure bullshit. TVA

This is pure bullshit. TVA gets most of its power from coal, and about 10% from hydro. Coal miners got a huge boost from the Tennessee legislature this year that allows them to continue indiscriminate, cheap, mountaintop removal and stip mining. Coal prices should be going down. Unless there is collusion and rate payer gouging as we are seeing from the oil companies. Oh, wait...

Brian A.'s picture
The global coal market has

The global coal market has gone crazy, not unlike the oil market. See price chart.

Brian A.
I'd rather be cycling.

gonzone's picture
the new TVA

Our GOP Congress and President did create a "new TVA" that is to be "more like a business". We didn't know they meant a corrupt GOP run type corporation where the only persons making money are at the very top and the hell with everyone else. Look at the CEO salary as an example. Now look at the rapidly shrinking number of TVA employees and the rapidly growing number of contractors. All that extra money is going down the rat hole of politically connected friends of the GOP. But I must admit, unfortunately, if any area deserves to reap the fruits of the GOP corruption of government, it's right here in East TN., the bastion of the proudly ignorant defenders of the party.

"When the going gets weird, the weird turn pro."
Hunter S. Thompson

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