Monday, May 02, 2016

Fuel cost adjustment to be reduced by TVA
Electricity users in the Tennessee Valley will enjoy lower power bills next month. TVA says it will reduce its monthly fuel cost adjustment in May to the lowest level in six years and one of the lowest on record since it began calculating its monthly fuel expenses on bills in 2006. "The primary reasons are recent mild weather and lower natural gas prices than in prior years," according to TVA spokesperson Scott Brooks. Monthly power bills will drop by about $1.30 from the current month, and the fuel portion of TVA's bills will average 29 percent less in May compared to a year ago. Brooks said TVA fuel cost adjustments have been lowered 12 times in the past 18 months as demand for power has remained limited, helping TVA to avoid costly production or purchases of peak load generation. Petroleum prices also are the lowest for May in a dozen years.


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