The wholesale cost for September's TVA monthly fuel cost, starting with bills on Sept. 1st, will be at the lowest amount since May 2016.
That's good news for consumers of TVA power... but may NOT actually mean bills will go down in September. Usage is the biggest driver of your power bill, and August is typically a month where people use a lot of power to cool their homes.
What it does mean is the fuel cost, which is a third of TVA's wholesale power rate, is going down from last month and well below the recent average for September. (Also, this is the wholesale cost from TVA. The retail cost may vary slightly depending on the local power company.)
The September 2017 total monthly WHOLESALE fuel cost will be 1.712 cents per kilowatt-hour for residential and business consumers and 1.573 cents per kilowatt-hour for large industrial customers (WHOLESALE) directly served by TVA and local power companies.
The overall system average fuel cost for September is approximately 20% lower than the three-year average September fuel cost. This is mainly due to lower purchased power and natural gas rates in the month of July.