RICHMOND — Dominion Virginia Power can recover its costs associated with the regional electric transmission system through a new surcharge beginning September 1. Identified as “Rider T,” the net effect of the new surcharge means a typical residential customer will pay an additional $1.20 per month.

The surcharge recovers from retail customers the federally-approved wholesale rates Dominion Virginia Power pays to the coordinator of the regional transmission grid, PJM Interconnection. PJM provides various transmission services and demand response programs.

“Rider T” will generate $217.8 million in revenue over 12-months. Since the surcharge will now recover transmission costs that had been included in the company’s base rates, there is a corresponding reduction in base rates. The net impact means an additional $78 million will be collected from customers pending the outcome of other Commission proceedings involving the company’s rates.

The “Rider T” rate adjustment may be reviewed annually and re-set, as necessary. Virginia law requires that wholesale transmission costs “be recovered on a timely and current basis from customers.”

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Case Number PUE-2009-00018

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