Georgia’s five-member Public Service Commission, which regulates the state’s utilities, yesterday unanimously approved an agreement that lets the state’s largest utility company recover $2.1 billion in under-budgeted costs for coal and natural gas.
The utility, which provides electricity to 2.7 million customers, said it needs reimbursement for excess fuel costs incurred during 2023 due to rising inflation that drove up natural gas prices and other energy sources.
“At Georgia Power, our customers are at the center of everything we do, and we are unwavering in our commitment to provide them with clean, safe, reliable and affordable energy,” said Aaron Abramovitz, Georgia Power’s chief financial officer. “The stipulated agreement benefits all customers, and approval of this agreement will preserve and protect the reliability and quality of electric service our customers expect and supports the continued economic development of our state – all while placing downward pressure on rates for all customers.”
In addition to Georgia Power, various intervenors joined the stipulated agreement, including the Advanced Power Alliance; Clean Energy Buyers Association; Georgia Association of Manufacturers; Georgia Watch; MARTA; Wal-Mart; and the Southern Renewable Energy Association.
Under Georgia law, utilities can require ratepayers to cover the cost of fuel provided they can prove that their previous and future costs aren’t due to negligence or illegal. And Georgia Power officials stressed that the company does not earn a profit on its fuel costs.
