Dominion customers could pay $10 more a month under plan to recover $1 billion in fuel costs

Dominion Energy customers could see their monthly bills increase by about $10 as the company works to recover roughly $1 billion in fuel costs.

State regulators are backing a plan that would allow Dominion to collect the money from customers over seven years, rather than recovering the full amount over a single year. Spreading out the costs is intended to reduce the immediate impact on customers' monthly bills.

For the average customer, the plan is expected to add about $10 a month to their electric bill.

Watch related: Regulators approved Dominion Energy's plan to recover $1B in fuel costs

The unrecovered fuel costs come as several factors put additional pressure on electricity prices. Experts point to extreme weather, higher natural gas prices and growing electricity demand, including demand from new data centers, as factors that could continue driving costs higher.

Concerns about that trend were raised during a recent hearing. An SCC staff witness warned that the current trajectory is not sustainable.

Regulators have now ordered Dominion to take a closer look at what is driving the additional costs and provide more information in its next filing.

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