GAHANNA, Ohio, Dec. 23, 2013 /PRNewswire/ -- AEP Ohio, a unit of American Electric Power (NYSE: AEP), filed with the Public Utilities Commission of Ohio (PUCO) its Electric Security Plan (ESP) for rate adjustments beginning in June 2015. The company's proposal asks for continued support of its distribution infrastructure investment efforts and the opportunity to create new jobs under a skilled workforce and veteran initiative. It also outlines the expectation for market-based rates to decrease for customers who receive their generation supply through AEP Ohio during the term of the plan.
The plan, proposed to begin on June 1, 2015 and last through May 31, 2018, was filed early in order to provide customers, auction participants and competitive retail electric service (CRES) providers with advance knowledge of the company's proposed auction schedule. It is the company's intent that this information will help CRES providers develop more offers to benefit consumers.
"Filing our plan early allows AEP Ohio to share auction information with CRES providers and other interested parties so that consumer-benefiting programs and offers can be created," said Pablo Vegas, AEP Ohio president and chief operating officer. "This filing also fulfills the Commission's objective for a full transition to market and continues AEP Ohio's efforts to improve reliability, while lowering overall electricity costs."
The plan projects an average 9 percent decrease in rates over the three-year term of the plan for customers who receive their generation through AEP Ohio. For customers who shop for their generation supply, AEP Ohio expects rates to remain flat. For the average AEP Ohio residential customer using 1,000 kilowatt hours (kWh) per month, approval of the plan would result in a decrease in a customer's total monthly bill of approximately $9 or 8 percent starting in June 2015. These estimates are based on current auction trends.In its request, AEP Ohio is asking the PUCO to continue its Distribution Investment Rider (DIR) to support continued reliability improvements and to approve the development of a Sustained and Skilled Workforce Rider that will allow AEP Ohio to recover the incremental costs associated with the creation of new jobs with a focus on hiring military veterans.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV