Electric fuel cost increases in May

Fayetteville Public Utilities (FPU) announced this week that electric customers who use the average of 1,330 kilowatt hours will see an increase of 83 cents in the Tennessee Valley Authority’s (TVA) total monthly fuel cost effective with May electric bills.

The increase of 83 cents will increase a customer’s average electric bill for 1,330 kilowatts from $141.32 in April to $142.15 in May. Hydro and coal generation was lower than previously forecast. This caused TVA to purchase power from other generation resources in order to meet electric demands of the Valley. TVA purchases power from other generation facilities when they experience a reduced availability in hydro and coal generation.

“In looking back at the past three years, the overall TVA average fuel rate for the month of May is approximately 7 percent lower for 2017,” says FPU CEO and General Manager Britt Dye.

The month of May continues as a TVA transition month for electric rates. June will begin TVA’s summer month rates that are historically higher due to increased energy demand and power generation which result in higher fuel costs passed along to customers as temperatures rise. Summer rates will be in effect from June until September.

To assist electric customers in controlling their monthly energy costs, FPU offers a budget billing plan to average monthly electric and natural gas bills. FPU also offers the free TVA e-Score Do-It-Yourself Energy Audit. The audit is available on FPU's website. You may also visit FPU's office and pick up a paper version of the energy audit.

Please check the RATES section of our website for a detailed listing of electric rates effective in May.