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PSO to recoup fuel costs

First it was ONG, now it is PSO's turn. The Oklahoma Corporation Commission has approved P-S-O's request for $675-million in fuel recovery costs tied to last winter’s bitter cold. It will mean your electric bill will increase by $4.06 per month for the next 20-years. Commissioner Bob Anthony was the lone no vote.

Commission Chairman Dana Murphy said today’s decision uses the state’s securitization law to avoid a customer charge that many would not be able to pay.

“State law allows regulated utilities to recover their fuel costs, at no profit, through a separate monthly charge on the bill. But simply passing through the $675 million of the Commission-audited PSO fuel costs from the February 2021winter storm as is normally done would have resulted in an estimated charge of $476 in one month for the average residential PSO customer. Securitization spreads the cost out over 20 years, reducing the monthly charge to $4.06.

“As with the earlier fuel cost/securitization cases from last February’s storm, this is a very difficult decision reached only after months of sworn testimony, careful review of the evidence and audits performed by the Commission’s Public Utility Division,” Murphy said.