AEP Ohio has filed a settlement with the Public Utilities Commission of Ohio that will give $607 million in customer benefits.
The settlement outlines customer benefits from tax savings created by the Tax Cuts and Jobs Act.
“Since Congress passed the Tax Cuts and Jobs Act, AEP Ohio has been committed to seeing that our customers benefit from these savings. This settlement provides customers with $263 million in immediate rate reductions.” said Julie Sloat, AEP Ohio president and chief operating officer. “The collaborative effort of these groups to work through this complex issue was critical to arriving at a beneficial outcome for our customers.”
Bill credits totaling $263 million will begin following PUCO’s approval and will continue for the next six years. These savings are in addition to $66 million in tax reductions that have been reflected in bills since January.
An additional $278 million will be credited over the next 20 years through the Distribution Investment Rider, which allows AEP to make upgrades and provide more reliable services.
A residential customer using 1,000 kilowatt-hours of electricity can expect a total bill reduction of $3.65 per month.
