CHESTERFIELD COUNTY, Va. — Dominion Energy customers are seeing higher power bills starting this month as the company works to recover more than $1 billion in unrecovered fuel costs.
In a letter sent to customers, Dominion said the increase is tied to rising "fuel prices and the cost of purchasing power from other providers over the past year."
"I don't like to see my bill go up in any way, shape, or form," Dominion customer Mike Uzel said.
"The cost of living is so high already, that a higher electricity bill is not something we need right now," Dominion customer Margaret Murphy said.
Dominion originally projected a $22 monthly increase for one year.
Instead, the company chose to spread those costs out by issuing deferred fuel cost bonds.
Customers will now see an $8 monthly fuel charge on their bills for the next 12 months.
Customers will also help cover the interest on those bonds — an additional $1.80 per month starting as early as October.
That charge will remain in place for 10 years.
Altogether, Dominion says a typical customer using 1,000 kilowatt-hours of electricity each month will pay about $312 over time to cover the $1.1 billion in unrecovered fuel costs.
On top of the fuel factor increase, Dominion warns that energy usage may also rise due to weather — and that will be reflected on bills as well.
"You know it's been really hot and that contributes to obviously the air conditioning running longer, more usage, plus you know the rates aren't coming down," Uzel said.
Dominion says it is working to generate more power and build new transmission lines to help reduce the need to purchase power from other providers — a factor in rising electricity bills.
Customers who want to weigh in on the fuel factor charge can participate in an online public hearing on Aug. 11. Those who wish to speak must contact the commission by Aug. 5. Sign-up information is available here.
CBS 6 is committed to sharing community voices on this important topic. Email your thoughts to the CBS 6 Newsroom.
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