By Devyn Lyon, FOX23.com News Staff
TULSA, Okla. — The Oklahoma Corporation Commission is continuing its review of a proposed $600 million rate increase request from the Public Service Company of Oklahoma that could increase the average residential customer’s bill by about $25 per month.
PSO filed the request in January, saying the increase is needed to support electric infrastructure investments and meet growing demand for power across Oklahoma.
According to PSO, the proposed increase would amount to about a 15% increase for the average residential customer.
That breaks down to approximately $6 per week, or less than $1 per day. Over the course of a year, however, the increase would add up to roughly $300 for the average household budget.
Thursday marked the second public meeting allowing public comment on the proposal before regulators make a final decision.
More than a dozen people from Inola traveled to Oklahoma City to speak during the hearing, many expressing concerns that residential customers could end up paying for infrastructure improvements tied to future industrial projects.
“We want to let the Oklahoma Corporation Commission know we don’t want the costs for upgrading the infrastructure and the generation capacity for those businesses to be passed on to residential users,” said Christine Roam with Stop the Inola Smelter.
Others questioned why rates should increase while they continue experiencing service issues.
“Why are they increasing my rates when I have the worst power I’ve ever had in my life here?” said Inola resident Jennifer Seeley.
Several speakers argued they believe the increase is tied to proposed projects such as an aluminum smelter planned for Inola and large energy users such as data centers.
“You’re going to take from suffering families, and you’re going to give that money to data centers,” said Inola resident Casey Jones.
PSO disputes that claim.
In a statement provided to FOX23, the company said:
“It is important to clarify that the rate review reflects the overall cost of providing safe, reliable electric service to customers. It includes only investments already made to serve customers. There are no investments made to serve the aluminum production plant under review by the Commission in this filing.”
The debate comes as Oklahoma lawmakers approved legislation earlier this year intended to protect residential ratepayers from costs associated with future large-load customers such as data centers and major industrial facilities.
While PSO says the current filing is unrelated to those projects, some residents who spoke Thursday told commissioners they believe ordinary customers are already being asked to shoulder those costs.
“It doesn’t feel like they represent the customers who are young families,” said Angela Junblueth of Inola. “Many of whom are here wanting to tell them and ask them to not increase the hike.”
Business owners also voiced concerns about how higher electric costs could ripple through the economy.
“I am actually not a PSO customer, but this ultimately affects far more than what’s within the PSO jurisdiction,” said Beth Richards. “It’s going to affect businesses. That cost is going to be transferred onto us.”
The proposal still faces several steps before customers would see any changes on their bills.
Following public comment, an Administrative Law Judge will review testimony and evidence before issuing a recommendation to the Oklahoma Corporation Commissioners.
Commissioners can then approve the request, reject it, or approve a modified version of the proposal.
PSO said support for the request was also expressed during Thursday’s hearing.
Residents who spoke with FOX23, however, said they are exhausted by rising costs and concerned about another increase.
“We’re just trying to make ends meet,” said local business owner Alexandra Hunt. “It’s hard as everything goes up.”
“Families are already struggling to pay for housing, medical, insurance and to just wantonly increase our utility rates for these large load customers feels very tone deaf to me,” Junblueth said.
National reports have found millions of utility shutoffs occur across the country due to non-payment each year, a concern several speakers connected to rising utility costs.
PSO maintains the investments are necessary to maintain reliability and support Oklahoma’s continued growth.
FOX23 will continue following the case as it moves through the Oklahoma Corporation Commission process and toward a final vote by commissioners.
You can read the following statement from PSO regarding the Oklahoma Corporation Commission’s public hearing on Thursday:
“We appreciate the participation from customers and community members throughout the Oklahoma Corporation Commission process. Public input is an important part of how these decisions are made.
It’s important to clarify that the rate review reflects the overall cost of providing safe, reliable electric service to customers. It includes only investments already made to serve customers. There are no investments made to serve the aluminum production plant under review by the Commission in this filing.
At today’s meeting, several Oklahomans spoke in support of PSO and the work our team does every day to provide service they can count on.
We remain committed to transparency and will continue working through the regulatory process to ensure decisions are grounded in the appropriate facts and focused on delivering reliable, affordable service for our customers.”
