WDBJ7 Roanoke News and Weather NRV Lynchburg Danville | How do Appalachian Power's rates stack up to the rest of the state?

July 16, 2009

How do Appalachian Power's rates stack up to the rest of the state?

Appalachian Power customers pay more than Allegheny Power customers, but less than Dominion Power customers. Appalachian Power customers pay more than Allegheny Power customers, but less than Dominion Power customers.

Enough is enough.

That's the word from fed-up Appalachian Power customers.

This in response to the company's latest proposal to raise rates.

A local economist says the proposal could keep Virginia from having "brown outs" like California experienced years ago.

That being said, News7 looked at some electric rates around the Commonwealth to see how Appalachian Power stacks up.

Ask just about anybody and they have something to say about Appalachian Power's proposed rate increase.

"It disturbs me because Appalachain is a monopoly, we don't have any other power companies around here," says customer Sharon Carrington.

"You talk about electricity, that's people's way of life, we need lights, that's just ridiculous," says customer Chuck Akers.

Radford University economics professor Charles Vehorn says there could be several reasons behind the company's proposal.

"There's this trade off between what the company needs to provide electricity and how much the consumers can afford," says Vehorn.

Under the increase, Appalachian Power customers using about 1,000 kilowatt hours would pay almost $110.

That's compared to Allegheny Power customers who pay about $91 and Dominion Power customers who pay just over $116.

Vehorn says the prices do seem to be in line, but it's up to the State Corporation Commission to keep a close eye.

"If the costs are  rising, they're going to have to grant them some sort of prices to customers to maintain their financial viability," says Vehorn.

Vehorn also says the company is also passing on some of the costs of keeping up with federal environmental standards.

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