Roanoke, Va., July 30, 2010 – Appalachian Power customers in Virginia will see a slight drop in their electric rate starting August 1 when two rate changes take effect. The company will implement a $61.5 million annual increase in base rates and a $101 million annual decrease in the fuel factor. The result is a net decrease of just under 2 percent.
 
For a residential customer using about 1,000 kilowatt-hours a month, the rate will drop from $105.18 to $103.48. Both rates include sales and consumption taxes totaling $1.61.

Appalachian anticipates electric rates to decrease about 7 percent in January when a $90 million annual Environmental and Reliability rider expires.

Appalachian Power encourages all customers to learn more about using energy wisely. Useful energy tips and energy calculators are available at the company’s website WattWhyandHow.com. Also, additional energy saving information is available from the state at a new energy-savings website: http://www.virginiaenergysense.org/cue/index.html.

Appalachian Power provides electricity to 1 million customers in Virginia, West Virginia and Tennessee (as AEP Appalachian Power). It is a unit of American Electric Power (NYSE: AEP), one of the largest electric utilities in the United States, with more than 5 million customers in 11 states. AEP ranks among the nation’s largest generators of electricity, owning nearly 38,000 megawatts of generating capacity in the U.S. AEP also owns the nation’s largest electricity transmission system, a nearly 39,000-mile network that includes more 765 kilovolt extra-high voltage transmission lines than all other U.S. transmission systems combined.