Alabama Power Defends Electric Rates To PSC

Jul 17, 2013

Alabama Power defended its rate structure before the state's utility regulatory board Wednesday.
Credit Alabama Power / Wikipedia

Alabama Power is defending its rate structure before the state's utility regulatory board.

Officials of Alabama Power told the Public Service Commission on Wednesday that its rates are below the national average. Officials said the total annual electric bill for the average Alabama home is above the national average because of hot, humid summers and because Alabamians tend to use more electricity and less of other energy sources, such as natural gas and fuel oil, than other Americans.

AARP and Alabama Arise say the current structure provides Alabama Power with a profit that that's out of line with other investor-owned utilities and its rates could be reduced.

PSC President Twinkle Andress Cavanaugh says the commission will digest the information and possibly make a decision in September.