Customers would see the first change in January 2025.
HUNTSVILLE, Ala. — Homes and businesses that get their power from Huntsville Utilities will be paying about five percent more if a proposed rate increase is approved this week.
The utility will request what it calls a “rate modification” at Thursday’s City Council meeting. The increase would be spread across a 10-month period starting in January.
Huntsville Utilities said the rate change is needed to cover the cost of construction projects. It said the price of those projects has ballooned with the increased cost of essential materials, such as PVC pipe, wire and pole-mounted transformers.
“As a cost-to-serve municipal utility, we have been feeling the impact of cost increases for several years,” said Wes Kelly, CEO of Huntsville Utilities. “This rate modification is a last resort in response to those rising cost.”
Here’s how the increase would work:
- Residential customers would see a 3.9 percent increase in January 2025. That change accounts for a $3.00 increase to the Residential …
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