Chris Carnevale | October 24, 2019 | Georgia, Utilities

Georgia Power’s obligatory payment hike proposal was sloppily calculated and is outrageously overly inflated — That’s the unanimous conclusion of specialists who tore into Georgia Power’s proposed payment hike in testimony filed with the Georgia Public Service Commission final week. Separate specialists, representing three totally different teams, intently examined Georgia Power’s proposal to hike residential prospects’ month-to-month payment by 80% and every concluded that the proposed payment hike relies on inaccurate calculations that stick prospects with a lot larger prices than are applicable, and that the Public Service Commission shouldn’t enable Georgia Power’s proposal.

As SACE and accomplice teams have been stating, hitting prospects with excessive charges like Georgia Power proposes to do would take away prospects’ means to regulate power payments, disproportionately harm prospects who use the least energy and are least in a position to afford the pricey modifications, and punish energy conservation and solar energy. You can see extra here about why the payment hike is an terrible concept and how one can assist stand as much as combat it.

Three separate submissions of testimony from the Public Service Commission Public Interest Advocacy Staff, Sierra Club, and Georgia Interfaith Power & Light/Southface/Vote Solar/Southern Environmental Law Center (SELC) all identified that the strategy by which Georgia Power arrived on the quantity of its proposed 80% hike within the residential month-to-month payment is defective and shouldn’t be used for calculating prospects’ month-to-month payment. All three submissions advisable a unique calculation technique, which might extra precisely mirror actual prices, and which might by the way end in a a lot decrease month-to-month payment than what Georgia Power proposed.

Specifically, the skilled for SELC rigorously reviewed Georgia Power’s case and decided that the truth is the present $10/month payment that residential prospects are charged to cowl the prices of offering electrical service to the shopper is already too excessive as it’s considerably larger than it truly prices in actuality to offer service. He advisable that the Public Service Commission scale back the payment that Georgia Power makes its prospects pay each month earlier than they flip on a lightweight swap to $9.46/month.

Similarly, the specialists for the Sierra Club advisable that the payment be stored at its present stage of $10/month. The specialists for the Pubic Interest Advocacy Staff in the meantime additionally mentioned that Georgia Power’s proposal is massively overly-inflated, however nonetheless thought {that a} lesser improve of $2 could be applicable in order that the month-to-month payment could be $12/month.

The skilled testimonies additionally identified some useful methods to contextualize Georgia Power’s proposal in relation to see utilities across the nation. For instance, one skilled identified that since Georgia Power assesses further proportion-primarily based prices on the month-to-month payment, the $17.95 proposed month-to-month payment would truly be $23.69 monthly, or about $284 per 12 months, earlier than prospects even use any electrical energy. Based on a complete analysis of peer massive utilities across the nation, this quantity charged for simply fundamental entry to electrical service could be the third-highest payment within the nation!

He discovered that the ultimate quantity of Georgia Power’s proposed payment could be greater than double the nationwide common ($23.69 vs. $10.52) and that the quantity of the proposed improve ($10.94 extra monthly) could be virtually 5 occasions better than the nationwide common improve lately ($1.91 extra monthly) and greater than twenty occasions better than the nationwide median improve ($0.50 extra monthly)! See the desk beneath for illustration.

From Justin Barnes’ testimony on behalf of Southern Environmental Law Center, Georgia Interfaith Power and Light, Southface, and Vote Solar.

The skilled testimonies additionally offered examples of how different states across the nation have objected the flawed technique by which Georgia Power is justifying the outrageous payment hike in addition to how energy regulators across the nation have rejected large payment will increase, like Georgia Power’s. The hike will not be a completed deal but and can’t go into impact with out first getting approval by the state’s elected energy regulators, the Georgia Public Service Commission (PSC). The skilled testimonies have given a stable report with which the Georgia PSC ought to deny Georgia Power’s outrageous, anti-client payment hike.

If you’re a buyer involved about Georgia Power’s proposed payment hike, please attend one of many upcoming occasions to share your ideas with the Public Service Commission!




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