Dominion Virginia Power asked state regulators to approve the first fuel rate increase in two years as fuel prices and customer demand for electricity are projected to increase by July 2014.
If approved by the Virginia State Corporation Commission (SCC), the monthly 1,000 kWh bill for the typical Dominion residential customer would increase by $2.36, from $108.39 to $110.75, which would still be below national and regional averages. The increase would occur July 1, pending the annual review and decision by the commission.
The fuel rate, which comprises about 25 percent of a typical residential bill, pays for the natural gas, coal, uranium and biomass the company purchases to generate electricity for its 2.3 million Virginia customers. Base rates and special charges for approved new power projects, energy efficiency measures and transmission make up the remainder of the bill.