Initial Filing Date: 11/17/2021
Summary: 7% Residential
Effective Date: 8/8/2022
On November 17, 2021, Kingsport Power, dba AEP Appalachian, filed its Petition with the Tennessee Public Utility Commission to increase rates, initially with a net increase of $6.9 million.
The original Proposed increase was to provide a projected rate of return of 6.36% on an adjusted total rate base of approximately $147.0 million, and a 10.2% rate of return on common equity. The Settlement Agreement, approved by the Commission on 10/27/2022, provides for a revenue increase of $5.75 million annually, with an overall rate of return of 6.02% on rate base, which includes a return on common equity of 9.5%. The percent of change is 2.92% to Residential Customers, 10% to Small General Service, 7.44% to Medium General Service, 7.77% to Large General Service and 1.95% to Industrial Power Service. Rates became effective 11/1/2022.