Dominion Virginia Power asks regulators for approval reduce fuel charge

Dominion Virginia Power has asked the State Corporation Commission of Virginia for approval to reduce the company’s fuel charge, which would result in lower customer electricity bills. The company is asking for the change to take effect Dec. 1.

If the reduction is approved, a typical residential customer using 1,000 kilowatt-hours of electricity a month would around a 3.3 percent savings, or a drop from $112.05 to $108.35.

Dominion Virginia Power Chief Operating Officer Paul Koonce said the next adjustment in the fuel charge is not required for another seven months, but the company believes “financial challenges in this difficult economy” warrant passing along the savings to its customers as soon as possible.

The company spends nearly $2 billion annually on fuel and related expenses, and is asking that more than $140 million be returned to customers as a result of savings caused by lower-than-expected fuel prices and mild weather.

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