Electric Rate Increase A Hardship For Some

Your household budget is going to take a hit this fall.

In addition to planned increases for water and natural gas, it will cost about 20% more to heat and cool your home with electricity beginning in October.

A TVA rate increase will be passed along and it presents a major problem for some rate payers.

ROSEMARY STEPHENS, NEEDS HELP WITH UTILITIES "In the dark I'll be in the cold....I won't have any heat."

Rosemary Stephens is on disability. She's one of thousands of Chattanoogans who struggle every month to pay their utility bills.

STEPHENS "At times, I have to go get help..to a ministry, they help me pay my bills cheap."

In October, when EPB passes along a 20% increase from TVA, local customers will see their bill jump by about 15 dollars a month. The average bill is about 112-dollars a month, and it will be about 127-dollars.

EPB says they make about 15-thousand disconnects a year.

Ms. Stephens would be one of them if it weren't for the Metropolitan Ministry of the Episcopal Commission of Southeast Tennessee.

REBECCA WHELCHEL, EXEC. DIR OF METROPOLITAN MINISTRY "Actually we help with a range of services including transportation, shelter, food, prescription medication and utilities."

That ministry spends about 2000-thousands dollars a week helping people. The money is raised from church gifts and grants.

EPB, meanwhile, operates its Power Share program, which asks rate payers to toss in a dollar or two a month to help those who can't pay for electricity....or,

KAREN THOMAS, CUSTOMER SERVICE MANAGER "Communication the key, if they'll just call us..call 648-1EPB we'll do everything we can to try to help them stretch that bill out."

That program, which is administered by the United Way.

But one thing is a certainty in today's slow economy, a 20% increase will make things worse for Rosemary Stephens....

ROSEMARY STEPHENS, STRUGGLES TO PAY UTILITIES "I said, oh, Lord...guess I'll buy me a bunch of candles so I wouldn't be in the dark, ha ha."

EPB blames that rate increase on the higher price of coal, which makes most of TVA's power.

TVA will reassess it's position again in January which could mean even higher rates.