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Alabama Power customers won’t pay as much for power starting this summer

Power bills will go down for many Alabamians starting this summer.

The Public Service Commission today announced that Alabama Power Company’s 1.4 million customers will not pay as much for power and fuel beginning in July.

According to the PSC, there will be a $337 million reduction over the next two years because of the federal income tax cuts approved by Congress and signed into law by President Trump in December.
“This is a great day for Alabama consumers and taxpayers,” said PSC President Twinkle Andress Cavanaugh in a statement. “What a difference President Trump has made to reverse the out of control policies of the tax-and-spend-and-regulate Obama Administration.”

A typical residential customer will see monthly bill reductions of more than $9. Overall customer reductions will total $257 million from July to December and then customer bills will be reduced by another $50 million in 2019. Fuel costs will be reduced by $30 million.

“That is real money going back to Alabamians, who can spend it on things other than electric bills,” Commissioner Jeremy Oden said. “President Trump and Republicans in Congress deserve great praise for bringing real relief to Alabamians and all Americans.”

The Commission unanimously voted in support of the actions and worked with Alabama Power to guarantee no increases in the company’s base rates through 2020.

They also modified the rate system governing the company, lowering the top end of the range and providing an allowable percentage to be used to maintain the company’s credit rating that the PSC said is necessary to control the overall cost of debt for customers, according to a Commission press release.

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