Danville Utilities to raise customer rates in response to inflation
DANVILLE, Va. (WDBJ) - Danville Utilities is planning to increase its water and electric rates for its customers.
The Utilities Commission voted to recommend the proposal to City Council at this week’s meeting.
Water rates would increase by around 1%. The electric rate increase varies upon how much electricity a customer consumes.
Customers who use around 1,000 kilowatt hours per month would see an increase of about 50 cents per month.
“It’s good to keep our costs in line with what is needed to provide service,” said Jason Grey, Director of Danville Utilities. Even if they are small increases, I would rather make small increases incrementally than having to come back and make these gigantic 15-20% increases.”
Grey says the increase is in response to inflation.
“We are recommending these small, inflation-area changes so we can better absorb some of the supply chain increases that we were seeing from our suppliers to better serve and keep our system reliable,” added Grey.
If approved by City Council in its budget process, the increase will go into effect in July.
Late fees and wastewater and natural gas rates will not be affected by the increase.
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