Residential Rates

Current Seasonal Rate 10.253 cents per kilowatt hour (Summer)
A typical NES customer uses approximately 1,100 kilowatt hours of electricity each month.

TVA Fuel Cost Adjustment 0.003 cents per kWh (Summer)
The TVA Fuel Cost Adjustment has increased for July. Customers will see an average Fuel Cost Adjustment of $0.03 (based on a 1,100 kWh bill).

NES Service Charge
The monthly service charge helps pay for recurring costs related to providing you with electric service, such as meter installation, maintenance, infrastructure including poles and transformers, tree trimming, payment processing, postage and customer service.

Grid Access Charge 
Effective October 2018, TVA introduced a new fixed monthly charge on NES' power bill (the Grid Access Charge, or GAC) "to more closely reflect the cost of providing power, specifically the fixed costs associated with the grid". NES therefore had to design a methodology to pass that cost through to customers.

Supplemental Residential Rate
Customers with an additional meter for residential purposes at the same location as their home are eligible.

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Understanding TVA Seasonal Rates

TVA charges customers a higher rate in the summer (June- September) and winter (December-March), when it costs the most to produce power because of increased customer usage. Rates are lower during transitional months (April-May & October-November).

What does it mean for my bill?
Based on an average 1,300 kilowatt hour per month bill, customers will see an increase of about $3 during summer months and a decrease of about $3 during transitional months. However, customers typically use more electricity in the summer and winter and less during transitional months which will result in higher bills in the summer and winter due to the seasonal rate change. The degree of the impact will depend on the customer’s usage during those months.

Why does it cost TVA more to produce power in the summer and winter?
During mild weather, TVA can get by using its hydroelectric dams, coal units and nuclear units to meet the demand for electricity. These are the cheapest ways for TVA to generate power. On a hot day, TVA must add its natural gas-fired power plants and purchase additional power from other generators to meet the demand. These are the most expensive ways to produce power.

NES rates are regulated by the Tennessee Valley Authority. All NES residential customers pay the same electric rate regardless of social status, income or place of residence.