September 30, 2009
PSC approves 12 percent rate hike for AEP
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CHARLESTON, W.Va. -- Appalachian Power customers will see their electric bills increase by 12.1 percent this fall.

On Wednesday, the state Public Service Commission approved the power company's request to raise rates, but the increase wasn't nearly as much as expected.

In March, Appalachian Power initially requested a 43 percent rate hike over three years -- the largest proposed increase in state history.

The PSC ruled Wednesday that the power company was entitled to a $355 million increase, which will be phased in over four years. Appalachian Power must come back to the commission each year to determine the specific amount of that year's increase.

"This appears to be a reasonable outcome that deals with the cost of coal and our purchased power," said Appalachian Power spokeswoman Jeri Matheney. "We recognize the difficulty the PSC had in dealing with this request, and we're pleased they recognized the value of phasing in the increase over several years, rather than have customers face it all at once."

Residential customers using 600-kilowatt hours a month will see their monthly bills increase $5.70, from $47.40 to $53.10, according to the PSC.

The PSC's order allowing Appalachian Power to raise rates is effective starting today.

The increase will raise $124.7 million for the power company this year.

"Obviously, the commission was trying to balance all of the interests it this case, but some of these decisions are going to have impacts for years to come and make it harder to lower rates in the future," said Byron Harris, who heads the PSC's Consumer Advocate Division. "They didn't agree with all of our adjustments, so that's disappointing." 

The utility said the rate increase is necessary to recover what it spends for coal -- and to purchase power and comply with more restrictive environmental regulations.

Tens of thousands of Appalachian Power customers signed petitions and sent letters to the Public Service Commission, opposing the utility's rate hike request.

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Posted By: WV resident (2:18am 10-03-2009)
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This does not increase the profits of AEP or Appalachian Power Company... has anyone actually read the PSC order?

Posted By: Nanette (3:40pm 10-02-2009)
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We need a PSC that is elected by the people. There was a move years ago to do just that but it failed. Perhaps this needs to be brought up again. I don't like appointed officials, more often than not they are there to do the bidding of those they are supposed to regulate.

Posted By: truthandreality (11:33am 10-02-2009)
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PV ( Photovoltaics ) Technology ,
can meet electricity demand on any scale. The solar energy resource in a 100-mile-square area of Nevada could supply the United States with all its electricity (about 800 gigawatts) , using modestly efficient (10%) commercial PV modules.
A more realistic scenario involves distributing these same PV systems throughout the 50 states. Currently available sites—such as vacant land, parking lots, and rooftops—could be used. The land requirement to produce 800 gigawatts would average out to be about 17 x 17 miles per state. Alternatively, PV systems built in the "brownfields"—the estimated 5 million acres of abandoned industrial sites in our nation's cities—could supply 90% of America's current electricity.

U.S. DEPT. OF ENERGY

http://www1.eere.energy.gov/solar/myths.html#1



This is the ULTIMATE answer for the almost 500,000 acres of barren , GOD forsaken , Mountaintop Removal " so-called " RECLAIMS in southern WV .

Posted By: St. George (9:11am 10-02-2009)
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This is hopeless. The utilities don't care and the PSC either can't or won't put a stop to what they are doing. A better aproach would be to have the Federal Government give everyone a tax write-off on their utility bills.

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