APCo’s estimates causing high bills for some

Museville resident Karen Rigney was livid when she got her mother-in-law’s most recent heating bill in the mail.

It was $207 for about 1,800 kilowatts of power usage from Jan. 6 to Feb. 4.

The bill may not have been astronomical compared to others’ monthly statements, but there was a glaring problem: Her mother-in-law’s home has been empty for nearly 12 months.

“She’s been in a nursing home for almost a year,” Rigney said during an interview Friday. Rigney’s home and her mother-in-law’s residence are on Cavalry Road.

“I was angry, for one thing,” she said, “because I knew that was wrong.”

Rigney checked the home’s meter and saw that just 440 kilowatts had been used. Appalachian Power had estimated her mother-in-law’s energy consumption that month instead of reading the meter, Rigney said, adding that other neighbors also received inflated power bills.

Appalachian Power serves about 500,000 residents in western Virginia, which includes parts of Pittsylvania, Henry and Franklin counties.

It’s not too common for APCo to estimate customers’ bills. But the harsh cold-weather season has prompted more estimates than usual.

Todd Burns, Appalachian Power spokesman, said the energy provider estimated usage for about 40,000 customers in western Virginia in December and January — a much higher number than usual. In some cases, roads blocked due to ice and snow left readers unable to get to meters, Burns said.

With APCo’s meter-reading technology, which includes meters emitting a signal and kilowatt figures popping up on a laptop screen, estimates are normally rare, Burns said. Customers whose usage is estimated can spot a small ‘e’ on the their bills, he said.

Customers who believe their estimates were too high can call APCo’s 24-hour customer service line at (800) 956-4237.

Unusually high power bills have been an issue for residents in Danville and Pittsylvania County this winter. Though colder weather than years past has been partly responsible for the spike, rates went up as well.

Appalachian Power had implemented a 12.8-percent rate increase on Dec. 12, an adjustment that was pending before the State Corporation Commission. Virginia law had allowed utility providers to raise rates that were pending approval before the SCC.

However, Gov. Bob McDonnell signed House and Senate bills Wednesday forcing APCo to suspend the pending increase to provide relief for power customers in the commonwealth. The bills were sponsored by Del. Bill Carrico, R-Grayson County, and Sen. Phillip Puckett, D-Russell County.

“We believe it was a good compromise to help customers and we think it will provide them some relief,” Burns said of the emergency legislation.

The legislation also eliminates utility providers’ practice of applying rate increases while they’re pending SCC approval. The SCC will rule on APCo’s proposed rate hike by July 15, Burns said.

Burns said during an interview in January that Appalachian had to request rate increases because the cost of producing and delivering electricity is going up. Also, having to comply with state and federal environmental regulations is expensive, he said.

On Friday, Southside lawmakers praised McDonnell’s actions to alleviate energy costs for power customers.

“It’s something immediate,” said Delegate Danny Marshall, R-Danville. “It helps.”

Marshall said he will support additional efforts McDonnell may take to rein in heating costs.

Delegate Don Merricks, R-Pittsylvania County, called McDonnell’s actions Wednesday a “first step.”

Marshall said he understood APCo’s need to estimate customers power usage in rural areas where homes may be far apart, but recommended that APCo consider using smart meters, like the city of Danville has.

Sen. Robert Hurt, R-Chatham, said state and federal environmental regulations have played a role in rising energy rates. The federal “cap-and-trade” passed by the House of Representatives last year is an example of the “devastating policies” that affect people’s lives, forcing companies to raise rates to revamp their facilities to follow environmental rules. 

Hurt, who supported McDonnell’s actions Wednesday and co-sponsored one of the bills adopted, said that when someone drawing Social Security sees energy bills exceeding their income, “you have a problem.”

The need to estimate energy usage when the weather is bad is understandable, Merricks said, as long as it doesn’t become a frequent practice.

As for Rigney, she called APCo and told a representative the estimate was wrong and she would not pay her mother-in-law’s astronomical bill. After checking the meter and giving Appalachian the actual figure, the provider credited her and sent her a new bill. It was for $40.