August 3, 2010
Georgia Watch applauds todayʼs decision by the Public Service Commission (PSC) to schedule public hearings across the state so that ratepayers will be able to voice their opinions regarding the Georgia Power and Atlanta Gas Light rate cases pending before the PSC. We encourage consumers to attend the hearings and comment as they see fit, especially given the significant impact of these proposed rate increases.
Amid the worst recession since the Great Depression and state unemployment still topping 10 percent, Georgia Power last month filed a rate increase request of more than $1 billion. This falls on the heels of two new rate increases added onto customersʼ bills over the last year. According to Georgia Powerʼs latest request, the billion-dollar rate increase would be phased in over the next three years. By February 2013, the average bill for a residential ratepayer would shoot up by almost $18 per month, or $216 per year.
In the rate filing, the regulated utility is seeking approval to collect significantly more profit from its 2.35 million customers. Georgia Powerʼs current return on equity rate is 11.25 percent. It wants to raise that number to nearly 12 percent, meaning the potential to collect roughly $84 million more of profit per year.
“During one of the worst economic climates since the Great Depression, Georgia Power is filing one of the biggest rate increase requests in history.” said Georgia Watch executive director and former Public Service Commissioner, Angela Speir Phelps. “Itʼs essential for ratepayers to get involved so they can protect their pocketbooks.”
In addition to a massive rate hike and a higher profit margin, Georgia Power is also proposing a new arrangement in which two-thirds of its annual losses could be offset by imposing higher rates on customers without having to file a formal rate case. As a result, Georgia Power shareholders would be responsible for only a third of all future losses.
“Attempting to shift the financial burden to ratepayers is particularly egregious. Itʼs unprecedented and would eliminate an established review process for rate increases,” said Speir Phelps. “The Public Service Commission is responsible to the people of Georgia to review and evaluate the fairness of rate increase requests. How can they establish just and reasonable rates without a review?”
The public will also be able to comment on AGLʼs rate increase request of $54 million, which would raise the average residential consumerʼs gas bills by about $3 per month. Although AGL officials claim this would be their first rate increase since 1993, the gas company last year gained PSC approval to add more than $400 million in surcharges to customer bills over the next 13 years.
For more information on the specifics of each rate case, call Georgia Watch at 404-525-1085. See below for PSC contact information and the public hearing schedule.
Contact Your Public Service Commissioners
Chuck Eaton: 404-657-2020; ceaton@psc.state.ga.us
Stan Wise: 404-657-4574; stanwise@psc.state.ga.us
Lauren “Bubba” McDonald: 404-463-4260; lmcdonald@psc.state.ga.us
Bobby Baker: 404-656-4515; bbaker@psc.state.ga.us
Doug Everett: 404-463-6746; deverett@psc.state.ga.us
For commissioner bios, click here.
The main PSC switchboard phone number is 404-656-4501.
Georgia Power Rate Case Public Hearings
August 18, 2010
Beginning at 6:00 p.m., Macon, Georgia
Bibb County Commission Board Room
Bibb County Courthouse
601 Mulberry Street Room 407
Macon, Georgia 31201
August 31, 2010
Beginning at 6:00 p.m., Savannah, Georgia
City Hall Council Chambers
2 East Bay Street
2nd Floor Council Chambers
Savannah, Georgia 31401
September 22, 2010
Beginning at 6:00 p.m., Rome, Georgia
Rome Civic Center
400 Civic Center Drive
Rome, Georgia 30161
October 4, 2010
Beginning at 9 a.m. and 6:00 p.m., Atlanta, Georgia
Commission Hearing Room
244 Washington Street
Room 110
Atlanta, Georgia 30334
October 5, 2010
Beginning at 9 a.m., Atlanta, Georgia
Commission Hearing Room
244 Washington Street
Room 110
Atlanta, Georgia 30334
November 8, 2010
Beginning at 9 a.m., Atlanta, Georgia
Commission Hearing Room
244 Washington Street
Room 110
Atlanta, Georgia 30334
December 1, 2010
Beginning at 9 a.m., Atlanta, Georgia
Commission Hearing Room
244 Washington Street
Room 110
Atlanta, Georgia 30334
AGL Rate Case Public Hearings
August 18, 2010
Beginning at 7:00 p.m., Macon, Georgia
Bibb County Commission Board Room
Bibb County Courthouse
601 Mulberry Street
Room 407
Macon, Georgia 31201
August 31, 2010
Beginning at 7:00 p.m., Savannah, Georgia
City Hall Council Chambers
2 East Bay Street
2nd Floor Council Chambers
Savannah, Georgia 31401
September 13, 2010
Beginning at 9:00 a.m. & 6:00 p.m., Atlanta,
Georgia
Commission Hearing Room
244 Washington Street
Room 110
Atlanta, Georgia 30334
September 22, 2010
Beginning at 7:00 p.m., Rome, Georgia
Rome Civic Center
400 Civic Center Drive
Rome, Georgia 30161
October 12, 2010
Beginning at 9:00 a.m., Atlanta, Georgia
Commission Hearing Room
244 Washington Street
Room 110
Atlanta, Georgia 30334
*Final decisions by the PSC will be rendered October 28th, 2010 for the AGL rate case and December 21st, 2010 for the Georgia Power rate case.