Appalachian Power seeks recovery of transmission costs in Virginia

Appalachian Power Company (APCo) has filed a request with the Virginia State Corporation Commission (SCC) seeking recovery of investments in transmission infrastructure, operating costs and fees from PJM Interconnection LLC (PJM). In its filing, APCo is requesting to increase the Transmission Rate Adjustment Clause (T-RAC) from $380.1 million to $396.6 million annually, representing a $16.5 million increase.

Rate adjustment clauses (RACs) allow the company to periodically adjust portions of the bill for specific costs not included in base rates.

"Our investments in transmission infrastructure are essential for enhancing reliability and supporting the potential development of new generation facilities needed to meet growing energy demands," said Aaron Walker, APCo's president & chief operating officer. "Our goal is to ensure that we provide a stable energy supply for our communities, now and in the future."

If approved by the SCC, this change will increase the monthly bill for a residential customer using 1,000 kilowatt-hours by $1.58, or approximately 0.9%, effective in March 2026.

PJM is the independent regional transmission organization that manages the electric grid in 13 states, including Virginia.