News Summary
Huntsville Utilities has announced a lane closure on Memorial Parkway starting Tuesday at 8 a.m. due to maintenance work. The inside lane of the southbound access road will be closed for 3 to 5 hours. Additionally, proposed rate increases set for January and October 2025 aim to address rising operational costs amidst inflation, potentially affecting residents’ utility bills.
Huntsville Utilities Announces Important Lane Closure and Proposed Rate Increases
Residents of Huntsville, it’s time to take note! Our local utility provider, Huntsville Utilities, is moving forward with some maintenance work that will affect traffic on a part of Memorial Parkway. Starting this Tuesday at 8 a.m., the inside lane of the southbound access road will be closed. The closure affects the stretch between Don Mincher Drive and Southpoint Park Circle, which means if you’re planning to head that way, you might want to find an alternate route.
Attention Drivers!
For those who must travel through the area, caution is key! It’s expected that the maintenance will take around three to five hours, and there will be workers present. The closure also impacts the U-turn lane underneath the overpass, making it more critical to steer clear if you can!
Proposed Rate Increases on the Horizon
What to Expect in 2025
Here’s what the proposed rate increases look like:
- A 3.9% increase set to take effect in January 2025.
- A subsequent increase of 1.3% planned for October 2025.
Most residential customers will see their availability charge go up by $3, bringing it to $17.23 a month. Additionally, a consumption charge increase will come into play, where the cost will rise by $0.00288 per kilowatt-hour starting in January and then climb again in October by $0.001114 per kWh.
Those with homes wired for over 200 amps will face a more significant change, with their availability charge set to reach $22.78 per month.
Concerns from the Community
One area of concern highlighted by local councilors is that this proposed availability charge is viewed as regressive. This means it could disproportionately impact lower-income customers, who may already be struggling with their monthly bills. Despite having added 25% more customers over the last decade, energy sales have actually dipped 2% when compared to levels in 2013.
Operational Costs and Future Impacts
At the current moment, the operating and maintenance costs for the utility sit at around $25.02 per customer for 2023. Interestingly, TVA’s electricity rate structure makes up about 80% of what a customer pays. Even though Huntsville Utilities has faced numerous expenses and has been reluctant to pass these costs onto customers, the pressure is on as they also recently raised prices related to new construction.
As it stands, the request for rate increases has been tabled by the council until their meeting on October 24. Without the approval of this request, potential cutbacks on maintenance and expansion projects could impact operations moving forward, leaving residents and businesses alike to question the future of their local utilities.
Keep your eyes peeled for updates from Huntsville Utilities as they navigate this important time for our community!
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Additional Resources
- WHNT: Lane on Southbound Memorial Parkway Access Road to be Closed for Gas Line Maintenance
- AL.com: Why Huntsville Utilities Wants a Rate Hike Even as North Alabama’s Growing
- WAFF: Huntsville Utilities Responding to Power Outage
- Rocket City Now: About 60,000 Impacted by Power Outage, Huntsville Utilities Says
- WAAY: Huntsville Utilities Responding to Water Main Break Along Airport Road
- Wikipedia: Huntsville, Alabama
- Google Search: Huntsville Utilities
- Google Scholar: Huntsville Utilities Rate Hike
- Encyclopedia Britannica: Huntsville, Alabama
- Google News: Huntsville Utilities
Author: STAFF HERE HUNTSVILLE WRITER
The HUNTSVILLE STAFF WRITER represents the experienced team at HEREHuntsville.com, your go-to source for actionable local news and information in Huntsville, Madison County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Panoply Arts Festival, Rocket City Brewfest, and Huntsville Comic & Pop Culture Expo. Our coverage extends to key organizations like the Huntsville/Madison County Chamber of Commerce and HudsonAlpha Institute for Biotechnology, plus leading businesses in aerospace, defense, and manufacturing that power the local economy such as Boeing, SAIC, and Mazda Toyota Manufacturing. As part of the broader HERE network, including HEREBirmingham.com, we provide comprehensive, credible insights into Alabama's dynamic landscape.
