RICHMOND, Va. (CBSDC/AP) — Dominion Virginia Power customers across the state will see their bills increase because its new power plant in southwest Virginia is now up and running.

The Richmond-based energy provider says that the Virginia City Hybrid Energy Center in St. Paul went into commercial operation last week, prompting the start of a rate change Monday.

Because of that, the monthly bill for a typical residential customer who uses 1,000 kilowatt-hours each month will see an increase of about $1.30.

But Dominion says that additional adjustments pending with state regulators would lower typical monthly bills by about $4.30 on Sept. 1. That’s mostly because of a rate decrease for what the utility charges customers to recover its fuel costs.

(TM and Copyright 2012 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2012 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)


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