Knoxville (WVLT) -- You may be paying more for electricity soon.
TVA's board of directors will meet Friday to discuss rate increases.
Volunteer TV's Rob Pratt has more on the talk of raising rates and what it may mean to you.
A spokesperson says the TVA staff will recommend an increase of between six and nine percent in the wholesale rate TVA charges power companies.
When power companies pay more for electricity, they pass along the cost to you.
At Pete's Restaurant in downtown Knoxville, higher electricity prices would effect the bottom line.
Owner Peter Natour says, "Any rate hike is going to effect any business owner."
Pete has been dealing with rising costs of all kinds for 22 years.
Natour says, "Everything else goes up, fuel cost goes up, rate hikes, you just have to make it up."
TVA says it's doing some making up of it's own.
Spokesman Gil Francis says TVA has needs, including new power plants and maintaining transmission lines.
He says that's why the staff will recommend raising wholesale rates between six and nine percent, "That revenue is for long-term investment. It's to keep the power system reliable, and provide enough generation to meet power demand that's been growing about two percent a year."
As a business or homeowner, you don't buy electricity directly from TVA.
You get it from a supplier like KUB.
KUB spokesperson Jennifer Fern says, "At this point, we don't know any specifics of what that rate increase is going to be and we won't know how that's going to impact our customers until we get the results from that board meeting Friday."
What KUB does know is that for every extra dollar they have to pay, they'll pass the costs directly to customers, people like you and Pete.
Natour says, "Sometimes we have to pass it along to customers just like TVA's passing it along to us."
The TVA board of directors will meet Friday in Chattanooga.
According to TVA., the last increase was just under ten percent in April 2006.
You can't do much about the rate increase if it comes.
The only way to keep you bill lower is to use less electricity.
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