Cleveland Utilities Pledges to Not Increase Retail Electric Rates Through the Period Ending December 31, 2023
The Cleveland Utilities (CU) Board of Directors recently approved a resolution committing to no retail electric rates increases through the period ending December 31, 2023. This move by CU is made possible by the announcement from the Tennessee Valley Authority (TVA) on Wednesday, August 31, where the TVA Board of Directors approved to extend the Pandemic Relief Credit. This credit offers local power companies a 2.5 percent wholesale base rate credit on all standard service takings and will provide CU the ability to defer any retail electric rate increases through the end of 2023.
“TVA’s impact is greater than the electricity we provide,” said Jeff Lyash, TVA president and CEO. “Through multiple credits and programs implemented since the start of the COVID pandemic, TVA expects to return about $1.4 billion through fiscal year 2023, helping our customers and communities as they deal with the challenges brought on by the pandemic and economy.”
“We commend TVA for its decision to continue to provide relief funds across the Valley. Being able to maintain stables rates through the end of 2023 is paramount, especially with the current challenges everyone is facing with inflationary pressures. We are focused on doing everything possible to keep rates as low as possible for our customers,” said CU President/CEO Tim Henderson. “We are appreciative to be able to utilize these resources to positively impact our customer base for an extended period of time.”
This action will complete a 4.5-year period without retail electric rate increases by Cleveland Utilities.