Lower costs for purchased power and the fuel used to generate electricity means customers of Public Service Company of Oklahoma (PSO) will soon see lower electric bills.
PSO today submitted a request to the Oklahoma Corporation Commission (OCC) asking to reduce the monthly fuel cost recovery on customer bills. If approved as filed, the reduced fuel costs will be reflected on customer bills beginning with the May billing cycle. This will lower fuel costs for all customers, with residential customers seeing a 24 percent decrease in the fuel portion of their bills.
For a residential customer who uses 1,100 kilowatt-hours a month, the lower fuel factor will decrease their monthly bill by more than $9.00. For larger commercial and industrial customers, for whom fuel costs make up a significantly larger portion of their bill, the new prices will add up to thousands of dollars in savings.
“The reduction in the fuel cost adjustment is largely the result of continued lower prices for natural gas, which PSO uses to generate a substantial portion of the electricity used by our customers,” said PSO’s Matthew Horeled, vice president, Regulatory & Finance. “With the current state of the economy due to the COVID-19 pandemic, this reduction in fuel costs comes at a good time for our customers.”
The lower monthly fuel cost adjustment will remain in effect through the end of this year.
PSO, a unit of American Electric Power (NYSE: AEP), is an electric utility company serving more than 554,000 customer accounts in eastern and southwestern Oklahoma. Based in Tulsa, PSO has approximately 3,800 megawatts of generating capacity fueled primarily by natural gas, 22-thousand miles of distribution lines and 37-hundred miles of transmission lines. PSO also is one of the largest distributors of wind energy in the state. News releases and other information is at www.PSOklahoma.com. Connect with us on Facebook, Twitter and Instagram @PSOklahoma.