Richmond Power & Light will spend more than $5.5 million for two new transformers.
During a Jan. 21 meeting, RP&L’s board, which is composed of Richmond Common Council members, awarded Virginia Georgia Transformer the transformer bid for $5,543,850. Virginia George provided the lowest of four bids and the quickest delivery time, at 85 to 90 weeks.
The transformers are for the Richmond substation and were included in RP&L’s 2025 capital expenses budget. Tony Foster, RP&L’s general manager, said the utility would receive a temporary transformer in February, then expects to receive one of the ordered transformers in late 2026 and the second no later than April 2027.
Recycling of a failed unit could bring $25,000, Foster said, and the utility is pursuing insurance reimbursement for the failure.
Green power rate
Foster also introduced board members to the idea of a green power rate. The voluntary rate is for customers choosing to purchase green power.
The $0.006 addition to RP&L’s regular rate would include $0.005 for power provider Indiana Municipal Power Agency and $0.001 for RP&L’s administrative efforts. Foster said one business customer has asked the utility to adopt the rate addition this year, and another two or three businesses are also expected to pay it.
Foster, who said he did not know if the businesses would receive tax breaks, will return to the board with a resolution that would add the green power rate to RP&L’s rate list.
Board leadership
Because of a weather cancellation Jan. 6, the Jan. 21 meeting was the first of the year for RP&L’s board.
Justin Burkhardt was elected the board’s chair for 2025, with Doug Goss elected the vice chair.
A version of this article appeared in the January 29 2025 print edition of the Western Wayne News.