ATLANTA – Georgia Power customers are likely to see a $4 to $5 drop in their monthly electric bills based on a request the Public Service Commission’s Energy Committee heard Thursday.
The 15 percent decline on the fuel portion of bills comes because of lower prices for what the company burns to generate electricity, according to Tom Newsome, a commission staffer. State law requires the commission to pass along the fuel costs to customers and prohibits Georgia Power from making a profit on it.
The commission will vote Tuesday on the request.
The year started with a $5 monthly drop for the average residential customer due to a similar request the commission granted in December.
Fuel costs are only one part of the monthly bill. Another part is the base charge, the amount needed to own and operate the generation plants and transmission lines, a charge that Georgia Power is allowed to earn about a 12-percent profit on. The company was due to present its case for a base-rate adjustment this year but agreed with the commission to put it off for three years.
Energy Committee Chairman Stan Wise made note of the fact that the base charge is frozen in place while the fuel charge is dropping.
“What matters to customers is when they open up their bills each month and see that it’s not as much,” he said.