Dominion Energy Virginia lowers customer rates

Typical Dominion Energy Virginia customers will see a slight savings beginning this month, thanks to lower rates that took effect July 1.

Average residential customers will save about $14 a month, according to the company, as the result of a rate reduction enabled by bipartisan legislation that passed the Virginia General Assembly earlier this year. That law resulted in a reduction of about $7 in monthly charges for the typical customer, and it also allowed the company to seek regulatory approval to spread fuel costs over a multi-year period, lowering typical monthly fuel charges by an additional $7.

That lower fuel charge will remain on an interim basis, pending Virginia State Corporation Commission approval of the company's long-term fuel securitization proposal.

According to Dominion Energy Virginia officials, its residential rates in the state are 20% below the national average and 39% below the regional average.

A typical residential customer uses an average of about 1,000 kilowatt-hours of electricity each month.

"At a time when consumers are paying higher prices for most goods and services, we're pleased to lower our customers' rates," said Dominion Energy Virginia President Ed Baine. "This will provide immediate relief for our customers now and ongoing savings in the future. It's an important part of our mission of delivering reliable, affordable and increasingly clean energy to our customers."

In a separate filing with the SCC earlier this week, the company initiated its first biennial base rate review under the legislation passed earlier this year. During the review, which by law occurs every two years, the SCC will assess the company's "base rates," which account for about half of a residential customer's monthly bill. The company is not seeking an increase to its base rates under the review.