Alabama Power to issue $62M in refunds to customers
MONTGOMERY, Ala. (WSFA) - Alabama Power is preparing to issue a multi-million dollar refund to thousands of its customers following an order by the Alabama Public Service Commission.
The APSC, a body that regulates Alabama’s public utilities, said during its meeting Tuesday that a regular examination of Alabama Power’s books and records showed that it had exceeded the authorized range allowed for its rate of return.
“Alabama Power can confirm that approximately $62 million will be refunded to eligible customers,” a company spokesperson said Wednesday.
The refunds will not be made immediately, however. They’ll be included in customers’ August 2023 bills. The average residential customer bill credit is expected to be approximately $23.
The refund comes after Alabama Power made three rate hikes in 2022. The last hike, which amounted to about $6.81 for the typical residential customer using 1,000 kilowatt hours per month, was announced in December and was said to be due to compliance with federal requirements, inflation, and economic conditions.
The December increase happened just a month after an increase of about $10 per month that APCO blamed on increased fuel costs needed to generate electricity.
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