Hot weather to keep electric bills high, even as fall begins

Karen Chastain recently convinced the Electric Power Board to remove a smart meter that she says was installed at her home without her knowledge or consent. A group of homeowners are putting up signs warning installers not to put in the new smart meters. Karen Chastain recently convinced the Electric Power Board to remove a smart meter that she says was installed at her home without her knowledge or consent. A group of homeowners are putting up signs warning installers not to put in the new smart meters.

By Dave Flessner September 24, 2016 2 min read

Summertime 2016 ended Thursday, but electric ratepayers are still feeling the heat.

Temperatures in July and August pushed up power demand – and most residential electric bills – in Chattanooga by 14 percent above year-ago levels, EPB officials said Friday. And the hotter and drier weather will continue to keep up electric bills next month when the Tennessee Valley Authority raises its rates for fiscal 2017.

EPB Chief Financial Officer Greg Eaves told the utility board Friday that power sales during the summertime months of July and August totaled $121 million, or $11 million above what was budgeted. The extra power sales from air conditioners coping with 90-degree-plus highs most days this summer helped generate $4.7 million of net income in the first two months of EPB’s fiscal year, up from only $318,000 of profits in the same period a year ago.

“We sold a lot more power than we budgeted (in July and August) and September looks to be another good month for sales,” Eaves said.

With the decline in power sales in the fall, TVA’s monthly fuel cost adjustment will edge lower next month, partially offsetting the impact of the 2 percent base rate increase planned by TVA for fiscal 2017.