Roanoke, Va., February 24, 2010 – Today Appalachian Power reduced its Virginia customers’ electric rates following Gov. Bob McDonnell’s signature on legislation that suspends a 12.5 percent interim base rate increase the company put into effect December 12. The new rate reduces the price for 1,000 kilowatt-hours (kWh) of electricity from $117.86 to $105.18 for a residential customer, an amount below what most residential customers pay in other parts of the Commonwealth. A customer consuming more than 1,000 kWh can expect a decrease of about $12 for each 1,000 kWh used.
Appalachian Power supported the legislation that suspends the current interim rate, eliminates base rate interim rates going forward and requires the State Corporation Commission to issue an order in the company’s pending base case by July 15. Any resulting rate change will be effective August 1.
“We recognize that many customers are concerned about winter heating costs,” said Dana Waldo, Appalachian Power president and COO. “We believe this rate reduction along with our recently expanded payments options will help them."
Appalachian Power provides electricity to 1 million customers in Virginia, West Virginia and Tennessee (as AEP Appalachian Power). It is a unit of American Electric Power (NYSE: AEP), one of the largest electric utilities in the United States, with more than 5 million customers in 11 states. AEP ranks among the nation’s largest generators of electricity, owning nearly 38,000 megawatts of generating capacity in the U.S. AEP also owns the nation’s largest electricity transmission system, a nearly 39,000-mile network that includes more 765 kilovolt extra-high voltage transmission lines than all other U.S. transmission systems combined.
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