The Virginia State Corporation Commission on Jan. 7 approved Appalachian Power Company’s proposal that allows customers the option to meet 100 percent of their electricity needs from renewable energy resources. Participating customers would pay a premium of $4.25 a month above the standard electric rate.
State law permits utilities to design a tariff that customers may choose to obtain all their power from a portfolio of renewable resources. The commission, which previously rejected two proposals from Appalachian Power, found that the latest plan will provide the 100 percent supply as defined by statute.
The commission said that the rate is reasonable when compared to proxies such as the market price of renewable energy certificates, rates charged by the only competitive supplier providing such a program in the company’s service territory, and premiums charged by green pricing programs nationally. The agency also found that the tariff does not harm customers who do not elect to participate in the program.
Appalachian Power is a subsidiary of American Electric Power Company Inc.