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sherry Cardinal News/Anna Rubenstein

Virginia school cook, 64, skips meals and sits in the dark to save money — now her utility wants a 23% rate hike

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She’s not alone. Her energy provider, Old Dominion Power, serves almost 30,000 customers in southwestern Virginia. Earlier this year, it put forward a proposal to the state of Virginia to increase its base electric price.

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According to Cardinal News, Old Dominion Power expects the price raise would make electric bills go up by around 23%.

Here’s what that means for Parsons and other Virginians, as well as what might be behind these price hikes.

Parsons is already paying $300 per month for winter power. The change could cost her almost $70 more

Virginia is one of the most expensive states when it comes to electric bills. The average bill is around $190, around $30 more than the U.S. average of $159.

At $300, Parsons is already stuck with an electricity bill that’s significantly higher than even the Virginia average. She’s doing everything she can to lower that bill, including skipping meals, keeping the lights off in her house 24/7 and using a heated blanket — bought for her by her brother — to keep warm instead of her house’s heat.

“He said, ‘You’re not going to sit up there and freeze to death.’ I said, ‘John, I can’t afford electric bills,” Parsons told Cardinal News.

Old Dominion Power told Cardinal News that its average customer would see their bill go from $185.07 to $228.39, around a $43 difference. For Parsons, a 23% increase would bring her bill from $300 to $369.

This price hike could hit more than just Parson’s power bill. She works at St. Charles Elementary School, part of the Lee County Public School district. According to Cardinal News, all but one of the schools in the district use Old Dominion Power for their electricity.

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The district would see their electricity bills rise by $115,000 if this rate change went through.

“Every additional dollar we spend keeping the lights on and our buildings operating is a dollar we cannot invest in our teachers, our classrooms and ultimately, our students,” Superintendent Brian Dean told Cardinal News.

The Virginia State Corporation Commission was flooded with comments on Old Dominion Power Company’s proposal to raise base prices. Multiple comments are from residents who wouldn’t be able to pay their electric bills if the price increase went through.

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Everything from fuel prices to data centers is impacting Virginia power bills

Old Dominion Power isn’t the only energy company requesting to raise its base prices. Dominion Energy recently raised its prices in Virginia, while Appalachian Power is proposing to do the same.

This is in no small part due to how expensive fossil fuels have been recently. Many power plants are still relying on fossil fuels to run, tying people’s electricity bills to skyrocketing gas prices.

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Virginia is also exceptionally vulnerable to electricity cost increases driven by data centers, as the state that hosts by far the most data centers.

In its proposal, Old Dominion Power said it needs to increase its rates because of “continuous significant investments in its facilities to provide safe, reliable access to energy… in accordance with applicable environmental regulations.”

Old Dominion Power told Cardinal News that it has invested in ways to “defend against stronger, more frequent storms we’re experiencing across the areas we serve.” In 2023, state regulators approved almost $10 billion in rate hikes from energy companies strengthening their systems against the impacts of climate change.

Old Dominion Power did not immediately respond to a request for comment.

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Kit Pulliam Freelance Writer

Kit Pulliam is a DC-based financial journalist with over five years of experience writing, editing and fact-checking financial content.

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