Dominion Energy customers in Virginia can expect a nearly $6 decrease in their monthly residential electric bills later this year under a proposed fuel rate adjustment, according to a press release.
Dominion officials say industrial customers will see an overall rate reduction of around 10% under the proposal. The new rate will take effect May 1 if approved by the State Corporation Commission (SCC). No change can occur in company rates without approval from the SCC.
The fuel charge comprises about 20 percent of a typical residential bill. The company is not allowed to make any profit on the fuel charge, so customers only pay for the actual cost of power station fuels.
|Fuel Rate||Total Bill|
|Change||-$5.89 (25.3%)||-$5.89 (4.8%)|
|(Based on typical 1,000 kwh residential bill)|
Base rates comprise about 60 percent of a typical residential bill. With the proposed fuel rate changes, the company’s electric rates continue to be well below national, state and regional averages.
Dominion Energy recently committed to net-zero carbon emissions across its 18-state footprint by 2050. The company is developing the largest offshore wind project in America and is the 4th largest owner of solar energy in the country among utility holding companies.
“We remain focused on providing customers with reliable service, increasingly clean energy and a great value for their energy dollar,” said Robert M. Blue, president, Dominion Energy Virginia. “This proposed fuel reduction shows we are running an efficient operation and providing excellent service to our customers.”