BrightRidge approves rate increase for October 2025 billing

JOHNSON CITY, TN – BrightRidge Board of Directors approved a 2.5% electric rate increase at their Tuesday afternoon meeting, with the increase effective for the October 2025 billing period of the utility’s fiscal 2026 budget year.

This is only the second local rate increase in eight years on the portion of the electricity bill that funds BrightRidge operations. The increase will offset significant revenue losses due to closing industries while maintaining ongoing improvements to the BrightRidge electric grid, which serves 84,553 customers.

 “Much deliberation goes into our budget, and a rate increase is absolutely the last resort,” said CEO Jeff Dykes. “Despite across-the-board inflation not seen in 40 years, BrightRidge has raised local rates just twice in eight years. Losing large industrial customers also puts tremendous rate pressure on the entire system—as we must deliver reliable power through extraordinary storms and future growth alike.”

Finance staff estimate the increase will add about $4.40 per month for a typical residential customer using 1,300 kilowatt-hours (kWh). That includes a $1.94 increase in the monthly base charge and $0.00189 per kWh increase in energy charges.

The imminent closure of the Limestone data center in March 2026 and the announced future closures of JTEKT and NMT —in the Washington County Industrial Park — will significantly impact electric sales. The Limestone data center accounted for nearly 7% of BrightRidge’s 2024 electricity sales, equivalent to the usage of 9,800 households.

Even with the increase, BrightRidge electric rates will remain mid-range among the 153 local power companies served by TVA. According to a BrightRidge rate consultant, more than 100 TVA-affiliated local power companies may raise rates in the 2026 budget year to cover inflation and rising demand.

In the new budget, BrightRidge will continue infrastructure improvements as part of a five-year, $155 million capital improvement program, including:

• A potential grid-scale energy storage project to reduce wholesale peak costs. 
• Ongoing reconstruction of the Knob Creek and Piney Flats substations, along with the purchase of transformers for a future substation. Substation transformers continue to experience 2–3-year lead times for delivery.
• A new double-circuit line to Sulphur Springs as well as other essential electric line upgrades throughout the electric distribution grid.

Meanwhile, BrightRidge Broadband will hold rates flat, having never raised prices since its foundation in 2019. Rural access will continue to expand, building off the Middle Mile grant zones, while preparing for potential funding under the BEAD program, also aimed at underserved areas.

“BrightRidge Broadband sets the standard for high-speed connectivity as the first in the country to make ultra-fast 10 Gigabit symmetrical broadband available to all customers,” Chief Broadband Officer Stacy Evans said. “At least two-thirds of BrightRidge Electric customers will have fiber broadband access by July 1, 2026.”

Only eight other broadband providers in the United States claim to offer 10 Gb service, with most of those limited to select locations. About 53,500 BrightRidge electric customers have access to full 10 Gb fiber symmetrical broadband service today.

“By building the most advanced network in the country and offering very competitive pricing, we have future-proofed the system for our customers, ensuring our regional economy remains competitive in the years ahead,” Evans said.