Montgomery, AL – Rate increases scheduled to take place Jan. 1 for Alabama Power customers are being delayed.
The Public Service Commission announced Tuesday that Alabama Power had been entitled to a $7.5 million rate increase to offset expenses for complying with federal environmental rules, but the company has agreed to delay that increase until 2012.
The amount Alabama Power charges customers to cover its fuel costs was due to go up Jan. 1 after a temporary reduction, but the company has agreed not to increase the rate through March 31. Commissioner Terry Dunn said that should save consumers about $62 million.
Among other utilities, Alabama Gas Corp. will lower its residential rates 2.4 percent Jan. 1 and rates for Mobile Gas Service Corp. will go down about 2 percent.
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