PSC listens to testimony in Appalachian Power, Wheeling Power rate increase request

The West Virginia Public Service Commission is reviewing a $71. 6 million rate increase request from Appalachian Power and Wheeling Power, which aims to raise electric rates by 3. 79 percent. This hike would add approximately $5. 31 to monthly residential bills.

During the hearings, witnesses indicated that the majority of the increase is tied to recovering a deferral balance of $52. 6 million and projected costs of $19. 1 million. Opponents attribute the financial strain to the companies' decisions to burn excess coal, which has led to losses. The companies intend to securitize certain assets to lessen the proposed rate increase's impact, following a legislative change in 2023.

Testimony revealed a significant under-recovery cost of $91. 3 million, raising concerns about the companies' financial management. Public comments during the hearings highlighted local residents' apprehensions regarding rising energy costs. Overall, the outcome of the hearings will determine the future of energy rates for consumers in West Virginia.