Business

Progress Seeks Approval for 1.3 Percent Rate Increase

Posted June 8, 2007 4:09 p.m. EDT
Updated June 8, 2007 4:31 p.m. EDT

— Progress Energy Carolinas is seeking a rate increase.

The company filed notice with the North Carolina Utilities Commission on Friday for a 1.3 percent increase. If approved by the commission, the increase would go in effect Oct. 1.

Duke Energy also recently filed for a rate increase.

“The request is significantly smaller than fuel cost increases of the last two years,” Progress said in a statement. “Those requests reflected significant increases in the prices of coal and natural gas from 2005 and 2006. In mid-2007, fuel prices are still high but have stabilized, compared to prior years.”

The average bill for a residential user would increase $1.29 per month, the utility said.

Industrial clients’ bills would increase 2.1 percent.

"We understand that any increase has an impact on our customers," said Bill Johnson, president and chief operating officer of Progress Energy, in a statement. "We are continuing to focus on controlling how efficiently we operate our power plants and delivery systems on behalf of customers. We're doing all we can to keep overall costs for our customers as low as possible while ensuring a stable and reliable supply of electricity."