The Tennessee Valley Authority, an electricity wholesaler, has announced the second consecutive decrease in its quarterly fuel cost adjustment for billing periods beginning April 1, 2009.
The Tennessee Valley Authority (TVA) said that because the fuel cost adjustment is a per kWh charge, amounts that consumers will save depend on the amount of energy they use.
While savings will vary across the Tennessee Valley, residential consumers can expect a decrease that ranges from about $4 to $9 in their monthly power bills. Retail billing periods for TVA power distributors also vary, so some April 2009 bills will include March 2009 usage at the lower rate.
According to the company, the decrease for the quarter will be about a 7% reduction on total average wholesale rates, and is a reduction of almost 40% from the current quarter’s fuel cost adjustment amount.
For the quarter beginning April 1, 2009 the fuel cost adjustment will decrease about $0.005 per kWh, from more than $0.013 per kWh to $0.008 per kWh.
Tom Kilgore, president and CEO of TVA, said: In these economically challenging times, we are glad that lower fuel costs will provide some relief in power costs to the consumers in the Tennessee Valley.
