On August 24, 2023, the Tennessee Valley Authority’s Board of Directors approved to raise its wholesale electric base rate by 4.5% effective October 1, 2023. This is the first wholesale rate increase by TVA in five years. This increase is automatically passed through to our end-use electric customers and will take effect with October billing cycles. The effective retail rate for each class of electric customer will be determined by the new wholesale rate schedule from TVA. Although each customer is unique and the impact of this will be different depending on usage, the average residential customer of Rockwood Electric Utility will see an increase of approximately $4.00 per month on their bill. The TVA board made the decision after considering current and anticipated conditions, including costs to invest in new generation capacity and in the reliability of their current assets. Rockwood Electric will not receive any additional funding from the rate increase. All revenue produced by it will go directly to TVA.
TVA also announced it will be suspending the 2.5 percent Pandemic Relief/Recovery Credit that it has extended to Rockwood Electric Utility since 2020. The suspension of this credit means that Rockwood Electric will pay TVA more for energy than we have for the past few years.
Rockwood Electric Utility continues to work through its partner associations and TVA to ensure we can provide our customers with safe, reliable, and affordable energy.”