(WVLT) - From the gas pump to the heat pump, you are now paying more energy than ever before.
TVA's latest rate hike of 7% is now in effect, so when you open that next electric bill, it's going to be more.
The TVA Board approved the increase in firm wholesale electric rates earlier this year. The wholesale rate is what TVA charges power distributors, like KUB. Meaning KUB passes along the increase to its customers because it's paying seven-percent more.
"They may raise it. They may lower it. This time they raised it. So, we'll pass that through. If they lower it, we will also pass that through as well," Jennifer Fern, a spokesperson, says.
What sort of dollar increase can you expect on your electric bill. It depends on your usage.
"That's going to affect KUB customers, the average KUB residential customer, by about seven-dollars and eleven cents," Fern says.
TVA says that its almost nine-million consumers can expect an average increase of about four to seven dollars a month.
But what does your monthly electric bill average?
A seven-percent increase on a $350 bill. That's an extra $24.50 a month. And over a year, that almost $300 more.
And it's hitting everyone's pocketbook. Everyone's.
"So, it does affect the employees that work at KUB. They're customers, too. So, it affects all of us," Fern adds.
If you want to learn more about the rate increase you can visit the KUB website by clicking here.