This is not a new charge. This is just a more detailed itemization of your electric charges.
Billing Questions
The Fuel Cost Adjustment (FCA) is a variable energy rate that can fluctuate from month to month as TVA's fuel and purchased power costs rise and fall.
The actual cost of fuel and purchased power is compared to the projected costs the rates were based. The difference is then multiplied by the kilowatt-hours of energy used to account for any changes in price.
In 2005, the price of natural gas, oil and coal used to generate electricity skyrocketed. Since then, TVA has found it difficult to predict the amount of revenue that is required to cover the cost of producing power. The Fuel Cost Adjustment allows TVA to more quickly match costs with revenue and avoid implementing permanent rate increases.
The FCA appears as a dollar amount on your bill. The adjustment is included in the "total amount due" for the month.
Fuel Cost Adjustments are typically found in private, investor-owned utilities. Many gas companies, including Piedmont Gas, have used a Fuel Cost Adjustment for years. TVA had a similar mechanism in the 1970s.
Many factors can affect the costs of fuel and purchased power including the weather, changes in the price of coal and natural gas, and unforeseen changes in the operations of TVA's generating plants.
Electricity produced at TVA dams using hydroelectric generators is the most cost-effective source. However, the amount of generation is limited by available natural resources.
Sheffield Utilities complies with identification requirements as mandated by FACTA. To apply for service, you must provide (1) your United States-issued identification, and (2) either your social security card, your birth certificate, or your passport.