nvdaily.com link to home page

Traffic | Weather | Mobile Edition
      Archives | Subscribe | Special Sections

Local News arrow Ryan Cornell arrow Utilities

| 0

SVEC customers could see rate hike

By Ryan Cornell

Customers of Shenandoah Valley Electric Cooperative could see higher utility rates this summer.

The cooperative recently filed an application with the State Corporation Commission requesting approval to adjust its base rates.

According to SVEC spokesman Mike Aulgur, the rate increase would affect all consumers of the coop, in both its "legacy territories" as well as areas formerly served by Potomac Edison before July 2010. He said the rate adjustment would appear on bills rendered on or after July 5.

Legacy consumers, who reside in portions of Shenandoah, Augusta and Rockingham counties, would see their electric rates increase by about 7.5 percent, from $107.90 to $115.91 per 1,000 kilowatt hours used.

Consumers acquired from Potomac Edison, who reside in Shenandoah, Warren, Frederick, Clarke, Page and Highland counties and Winchester, would see a 5 percent increase in their rates, from $103.37 to $108.53 per 1,000 kilowatt hours used.

Aulgur said the rates were adjusted following a "cost of service study" commissioned by SVEC and required by the State Corporation Commission to determine exactly what it costs to provide members with service.

The State Corporation Commission, which has a hearing date set for July 15, will determine three outcomes for the cooperative, Aulgur said.

"They could say your rates are just and reasonable -- we agree with you -- go ahead and implement the rates formally," he said. "They could say you have underestimated the costs of service and the rates need to be increased more. They could say you have overestimated rates and a portion of the rates have to be given back to members."

The adjusted rates are subject to refund based on the commission's ultimate decision, he added.

"So, for example, we basically hold those rates in escrow," he said.

He said the rate increases result from a rise in the cost of wires, transformers and other equipment required to distribute electricity as well as an increase in the costs of generation and transmission of energy.

"We don't look to make a profit," he said. "We look to be able to have the revenues and resources to serve and that's it. And anything left goes back to our members in capital credits."

For more information, visit svec.coop.

Contact staff writer Ryan Cornell at 540-465-5137 ext. 164, or rcornell@nvdaily.com

Keep up to date on local news

Sign up here to receive Northern Virginia Daily news delivered to your email box each morning and when breaking news occurs.


Comments that are posted represent the opinion of the commenter and not the Northern Virginia Daily/nvdaily.com. View our comments/submisssions policy. Report abuse by clicking the X next to the comment.

Local News Sections

Affordable Care Act Agency on Aging Agriculture Alex Bridges Apple Blossom Festival Aviation Basye Berryville Boyce Breaking News Business Charities Civil War Clarification Clarke County Colleges Corrections Courthouse Notes: Permits, Transactions Courts & Legal News Crime & Public Safety Economy and Jobs Edinburg Education Edward N. Bell Election 2012 Election 2013 Entertainment Environment Fairs & Festivals Fire & Rescue Fishers Hill Fort Valley Frederick County Front Royal George Washington National Forest Guest Column Hard Times Health History Holidays Homes In The Spotlight Jeff Nations Joe Beck Josette Keelor Katie Demeria Kim Walter Ledger Livestock Local Markets Maurertown Media Middletown Military & Veterans Moms Mount Jackson New Market Page County Pet of the Week Pets & Animals Politics Progress 2013 Progress 2014 Quicksburg Religion Rockingham County RSW Jail Ryan Cornell School News Shenandoah County Shenandoah Farms Volunteer Fire Department Star Tannery State Stephens City Steven A. Boyce Strasburg Toms Brook Traffic & Transportation Utilities Valley 911 Warren County Weather West Virginia Winchester Woodstock Year in Review

News | Sports | Business | Lifestyle | Obituaries | Opinion | Multimedia| Entertainment | Classifieds
Contact Us | NIE | Place a Classified | Privacy Policy | Comments/Submissions Policy | Subscribe

Copyright © The Northern Virginia Daily | nvdaily.com | 152 N. Holliday St., Strasburg, Va. 22657 | (800) 296-5137

2014 Virginia Press Association Grand Sweepstakes Winner
The Best Small Daily Newspaper in Virginia!

nvdaily.com | seeshenandoah.com