RICHMOND — The State Corporation Commission (SCC) has approved a 15 percent fuel rate increase request by Kentucky Utilities Company, doing business in Virginia as Old Dominion Power Company.

The SCC’s final order issued on April 20, 2007, allows Kentucky Utilities to raise the fuel factor from 2.676 cents per kilowatt hour (¢/kWh) to 3.079 ¢/kWh. A typical residential customer’s monthly bill will increase by $4.03 for each 1,000 kilowatt hours used.

Kentucky Utilities customers have been paying higher interim rates since April 1, 2007. That is when the requested increase was allowed to go into effect on an interim basis pending an SCC decision. The company said the fuel rate adjustment is necessary because of an under-recovery of past fuel costs to generate electricity and to meet the projected costs of fuel through March 31, 2008.

The company is a wholly owned subsidiary of E.ON U.S. LLC and provides electric service to approximately 30,000 customers in Wise, Lee, Russell, Scott, and Dickenson counties.

###

Case Number PUE-2007-00009