Huntsville Utilities proposes rate increase

The Huntsville City Council has to vote to approve the rate hike.

Posted: Sep 26, 2018 10:48 PM
Updated: Sep 27, 2018 11:24 AM

The proposed rate hike on your Huntsville utility bill is due to the increased cost of materials. It is also because the Tennessee Valley Authority, who provides energy to Huntsville, plans to charge Huntsville Utilities more money for power. Those costs would trickle down to you the customer.

Right now, Huntsville Utilities is proposing to increase your fixed rate and not base it on how much electricity you use per month.

"I prefer the rates stay as they are," said customer Tyler Swegles. "Even though customers like Swegles don't want to pay more for electricity, an increase is coming. It just depends on the format."

Huntsville City Council has three options. Option one has two roughly 2% increases every other year with increases ending in 2021. Option two has less than 1% increases every year for five years. Option three is where the increase is based on usage.

"If it's something they're going to mandate one way or another then I'd rather have it increase piece by piece," said Swegles.

Your water will not be apart of this rate hike and neither will your gas bill, because both of those utilities are on different contracts, and the rates of those are controlled differently than your electricity bill. Huntsville Utilities said they prefer the option that does not change how you're billed based on how much you use here at your meter, because they said the fixed rate increases provide stability to you the customer.

"When we put more of the rate increase into the usage portion of the bill, we increase the kilowatt hours. What happens is during periods of extreme weather when cold winter mornings, hot summer days, that magnifies the impact of the bill," said the President of Huntsville Utilities Wes Kelley.

Huntsville Utilities said they need this increase to cover increased costs, such as more expensive poles and cable. They said if city council doesn't approve the rate increase, the Tennessee Valley Authority will automatically change the rates and change it based on usage where someone using a lot of electricity would get a break on their bill, and people using less would pay more.

Huntsville Utilities is not a fan of that idea, and Swegles isn't a fan of TVA making decisions for us either. "I'd rather keep it local and have our own guys take care of us," said Swegles. 

The options for the rate increase will be presented to city council Thursday, and the first opportunity for a vote is on October 11th. If the council picks one the increase with start on January 1st, 2019.

Huntsville/Madison
Cloudy
41° wxIcon
Hi: 49° Lo: 36°
Feels Like: 36°
Muscle Shoals
Cloudy
46° wxIcon
Hi: 48° Lo: 31°
Feels Like: 46°
Huntsville/Madison
Cloudy
41° wxIcon
Hi: 49° Lo: 31°
Feels Like: 36°
Decatur
Cloudy
42° wxIcon
Hi: 49° Lo: 34°
Feels Like: 38°
Fort Payne
Cloudy
40° wxIcon
Hi: 51° Lo: 35°
Feels Like: 40°
WAAY Radar
WAAY WAAY-TV Cam
WAAY Temperatures

Alabama Coronavirus Cases

Cases: 426543

Reported Deaths: 6126
CountyCasesDeaths
Jefferson62752920
Mobile30551554
Madison27303186
Tuscaloosa20835267
Montgomery19192305
Shelby18693114
Baldwin16513183
Lee12603101
Morgan12321113
Etowah11805168
Calhoun11206200
Marshall10236107
Houston8681148
Cullman8094105
Limestone807474
Elmore7923101
DeKalb771597
Lauderdale763183
St. Clair7599120
Talladega6224108
Walker5930174
Jackson583741
Colbert535473
Blount532083
Autauga522755
Coffee446256
Dale399781
Franklin368148
Chilton337865
Russell335910
Covington330168
Escambia321342
Dallas305196
Chambers288669
Clarke283133
Tallapoosa2630107
Pike251329
Marion247350
Lawrence245247
Winston229035
Bibb217047
Geneva203335
Marengo200829
Pickens196931
Hale177442
Barbour173836
Fayette171226
Butler170758
Cherokee160930
Henry155021
Monroe147317
Randolph141535
Washington138326
Clay127045
Crenshaw120244
Cleburne118423
Lamar118419
Macon116835
Lowndes111535
Wilcox103621
Bullock99728
Perry98219
Conecuh95120
Sumter89526
Greene76223
Coosa60515
Choctaw51524
Out of AL00
Unassigned00

Tennessee Coronavirus Cases

Cases: 690065

Reported Deaths: 8471
CountyCasesDeaths
Shelby767471128
Davidson71148672
Knox38985408
Hamilton34813329
Rutherford33298287
Unassigned22950127
Williamson21507140
Sumner18322232
Out of TN1618380
Wilson14511158
Montgomery14507149
Sullivan12634211
Blount12029126
Washington11949192
Maury11003123
Bradley1083891
Sevier10534108
Putnam9968140
Madison9163179
Robertson766685
Hamblen7018109
Anderson6818104
Greene6615108
Tipton622665
Gibson5656111
Coffee564882
Cumberland542173
Dickson540479
Bedford532889
Roane522979
Carter5115114
Lawrence511469
McMinn510073
Warren500053
Loudon497450
Jefferson480875
Dyer477282
Monroe459462
Hawkins448170
Franklin413062
Obion400580
Fayette399351
Rhea382856
Lincoln379844
Marshall346336
Cocke345656
Weakley341248
Cheatham338130
Henderson333857
Campbell325840
Giles323072
Carroll312759
White311743
Hardeman310452
Hardin298947
Lauderdale294331
Macon289350
Wayne262219
Henry261958
Overton254643
DeKalb242741
McNairy241042
Haywood240645
Smith231727
Marion229231
Trousdale228914
Scott226231
Hickman224934
Claiborne215929
Fentress213231
Grainger209636
Johnson202232
Morgan189815
Crockett180938
Bledsoe174910
Chester174837
Unicoi167944
Cannon158119
Lake156019
Decatur147726
Polk143817
Union139923
Grundy139321
Sequatchie137618
Humphreys133517
Benton132435
Lewis127720
Meigs114916
Stewart105820
Jackson104322
Perry94825
Clay94026
Houston93922
Moore8089
Pickett68020
Van Buren6637
Hancock4056

Community Events