By Staff
Clif Knight, Hartselle Enquirer
Hartselle Utilities is passing on a 9.95 percent wholesale electric rate increase it received from TVA on April 1 to its customers. This brings to 17.45 percent the amount electric rates have increased since Oct. 1, 2005.
The latest increase will show up in May billings.
Vest said TVA’s decision to raise it s rates was the result of a $500 million budget overrun brought about by higher coal, natural gas and purchased power costs.
Vest said the TVA staff has proposed to board members a quarter ly fuel cost adjustment. If implemented, it would automatically adjust TVA’s rates up and down as fuel and purchased power costs rise and fall.
We don’t like to pass on these kind of increases, but we understand why TVA is doing this,” Vest said. “We are encouraged by the fuel cost adjustment proposal, which we hope will go into effect October.