Background Information
In a recent decision, the PSC approved a $40 million increase to our base electricity rate. The increase is mostly needed to account for inflation in prices of materials and labor. The PSC made approval of this increase conditional on withdrawal of our 2026 Notice of Intention to file a base rate increase and agreeing not to submit a new base rate filing until after June 1, 2027. The new rates will go into effect on June 1, 2026.
Benefits for You
The PSC's decision helps keep your rate more stable in the near term and reduces how often rate changes are needed. The new base rate allows us to continue investing to build a more reliable electric grid in West Virginia while accounting for increased costs due to inflation.
Customer Protection
As with all rate changes, the PSC evaluates our financial data and the public input of customers and intervening parties to make sure rates and conditions are fair and reasonable, while still supporting safe and reliable power.
Frequently Asked Questions
What is the base rate and what does it include?
"Base rate" refers to the costs of building, maintaining and operating our electric system, including power plants, transmission and distribution lines that serve you and your neighbors. Base rates do not include the fuel portion of your bill. Fuel and purchased power are expenses to you with no profit to us.
What factors contributed to the change in the base rate?
The PSC chose to make an adjustment based on inflation in prices for goods and services that APCo encountered.
How will this impact my bill?
The order results in an increase of $4.84 on a monthly bill for a residential customer using 1,000 kWh. The total adjustment is $40.1 million or about 2% of overall revenue.
When will the new rates take effect?
The new rates go into effect June 1, 2026.
What is the process for changing rates?
The PSC goes through a strict review and approval process when they change rates. APCo submits an initial request, which kicks off a thorough process of collecting data and testimony from our company, concerned groups and the public. The PSC makes its final rate decision based on all the information it collects and issues an official order setting the new rates.