Progress Energy rates will be increasing slightly next month as the Raleigh-based power company deals with rising expenses for fuel and energy-efficiency programs.
Residential rates will go up 3.7 percent Dec. 1, from about $102 to $106 a month for a typical household that uses 1,000 kilowatt hours of electricity a month.
The N.C. Utilities Commission approved the increase last week. Power companies adjust their rates for fuel costs and other factors once a year.
The biggest cause for the increase is the rising cost of coal and other fuels. Another contributor is energy-efficiency programs, which include financial incentives for customers, administration costs and marketing costs.
Energy efficiency is considered the most inexpensive way to meet energy demand, cheaper that building power plants, solar farms or wind turbines. But offering efficiency programs is not reliable for long-term planning because it requires customer participation.
Progress is expected to file for a rate increase as early as next year to cover big-ticket expenses, such as new power plants and transmission upgrades.
John Murawski has been a full-time newspaper reporter since 1991, with stints at Legal Times and The Chronicle of Philanthropy (both in Washington, DC), The Philadelphia Inquirer and The Palm Beach Post (in South Florida) before arriving at the N&O in December 2004. At the N&O he covers energy (nuclear, coal, renewable, efficiency), utilities (electric, natural gas, telephone) and telecommunications. His beat includes such publicly traded companies as Progress Energy, Duke Energy, PSNC Energy, Piedmont Natural Gas, PowerSecure International, Tekelec, Cisco Systems, AT&T, among others. You can reach him at 919-829-8932 or 
Comments
Great timing, you turkeys!
Wed, 11/16/2011 - 11:38 — CapeFear54Great timing, you turkeys! Bah Humbug!!!!
Energy Rates going up
Tue, 11/15/2011 - 17:43 — wek41Those folks are getting ready to give themselves big raises and bonuses for showing-up to work each day.