KNOXVILLE, Tenn. (AP) - Rates for Tennessee Valley Authority
residential customers will drop between $1 and $3 in the billing
period that starts Jan. 1 due to another reduction in fuel costs.
The change reflects more hydroelectric generation because of
rain and a reduction in projected future costs.
TVA began the fiscal year Oct. 1 with an 8 percent general rate
increase but because of reduced fuel adjustment costs, customers are still paying less than a year ago.
There have been five drops in the fuel cost adjustment cost this
TVA uses the fuel cost adjustment to help recover fluctuating
fuel and purchased power costs.
TVA is the nation's largest public utility with nearly 9 million
customers in Tennessee, Alabama, Mississippi, Kentucky, Georgia, North Carolina and Virginia.