Energy Rates Information
Reducing energy consumption can help customers lower their bills. Customers can learn more about energy savings tips as well as assistance resources here.
Electric Rate Information
TVA produces electricity and sells it to distributors, like KUB, that deliver electricity to homes and businesses. TVA is KUB’s single provider of electricity aside from a small percentage of renewable energy that TVA permits KUB to self-generate through the Generation Flexibility program.
More than 80 cents of every dollar electric customers pay KUB goes to purchase power from TVA. KUB's margin is less than 20 cents on the dollar.
As TVA's costs for non-controllable items such as coal, natural gas, and purchased power rise and fall, TVA passes 100 percent of the cost increase or decrease along to distributors through its Fuel Cost Adjustment (FCA). TVA may make adjustments each month, as needed, to reflect the difference in projected and actual fuel costs.
KUB passes 100 percent of TVA increases/decreases to customers, therefore, KUB residential electric rates will vary each month. A customer's bill will also vary from month to month based on the amount of electricity consumed. Factors that impact consumption include weather, individual usage habits, and the size and energy efficiency of the customer's home.
The fuel cost adjustment will also impact those KUB customers who are billed each month for private outdoor lighting. The charges for the private outdoor security lights will automatically adjust as the TVA fuel cost adjustment moves rates up or down.
Customers can view current residential electrical rates here.
Commercial customers can view commercial electrical rates here.
Natural Gas Rate Information
KUB purchases natural gas on the open market for resale to customers.
Although market prices fluctuate, KUB purchases natural gas throughout the year to smooth out market prices. KUB then adds the cost of delivering gas to the wholesale rate without any additional markup. This method allows KUB to maintain a reliable supply of natural gas for its customers while keeping costs as low and smooth as possible.
Customers can view current residential natural gas rates here.
Commercial customers can view commercial electrical rates here.
Century II
KUB, like other utilities nationwide, continues to face the challenge of replacing aging infrastructure. KUB launched its Century II infrastructure management program in 2007 to improve and maintain the electric, natural gas, water, and wastewater systems for its customers.
Century II includes the maintenance and replacement strategies for each system that were in place before Century II and establishes sustainable replacement cycles. It moves KUB into its second century of service by improving each system through sound planning, resource allocation, and continued, but accelerated, investment.
Funding for Century II is on track to help KUB continue to provide safe, reliable utility services and meet customer needs—now and in the future. By anticipating and addressing needs now, customers will realize long-term benefits and experience even fewer service interruptions.
Customers can learn more about Century II here.
Energy Outlook Information
KUB is constantly monitoring market prices for energy sources. Customers can learn more about their expected energy costs here.