OG&E has filed an application asking the Arkansas Public Service Commission to approve a rate increase of $17.7 million that will enable the company to recover the cost of significant electric system expansions and upgrades that have been completed since the last rate filing two years ago.
A general rate increase of $13.3 million was granted in 2009, but because a fuel-charge refund was also reflected on customers' electric bills, most saw little change, according to the utility.
OG&E says the rate increase will help recover investments in electric infrastructure, including high-voltage transmission lines and wind energy, as well as in rising operating costs.
‘The investments we're making now help us save customers money by achieving our goal to reach the year 2020 without adding fossil-fueled electric generation,’ says Howard Motley, vice president of regulatory affairs for OG&E.
New rates, if approved, would go into effect in the third quarter of 2011. The company estimates the new rates would cause the average OG&E Arkansas residential electric bill to increase by approximately $6.61 per month.
SOURCE: OGE Energy Corp.