NASHVILLE, Tenn. (WKRN) — Energy bill prices have been on a bit of a rollercoaster ride in Tennessee, and they could continue on that path this winter.
In October, Nashville Electric Service’s scheduled 3.6% rate increase took effect, but even customers outside of Nashville could see higher winter energy bills if fuel prices continue to fluctuate.
Tennessee Valley Authority provides power to the entire state. They saw rates peak in August.
“What we’re experiencing is a run-up in natural gas prices and we’ve seen them increase about 160% since their lows in June of 2020,” TVA Spokesperson Scott Fiedler said.
That translated to a roughly $18 increase on residential electric bills over the summer.
Thankfully, those bills are now down as we transition between seasons.
“What we saw in September with the milder weather, power bills should be lower. What we’re seeing here in October with this first cold snap, your usage is going to go up,” Fiedler said.
As winter approaches, energy experts say we could see rates climb if fuel prices continue to fluctuate.
“With natural gas prices this fall and this winter, we don’t have the crystal ball but we are definitely monitoring the situation,” Fiedler said. “If fuel prices increase, that is passed on, but as soon as they decrease, that savings is also passed on.”
The TVA works to supplement natural gas with other energy sources and will continue to do so to try to offset the price of fuel.