Updated Tuesday, Feb. 7 at 2:34 p.m.
A nonprofit that says it wants to advocate for lower utility bills for Tulsans will be allowed to participate in hearings related to a rate hike proposed by Public Service Company of Oklahoma.
Last week the Oklahoma Corporation Commission disallowed the Alliance for Electrical Restructuring in Oklahoma, or AERO, to participate in PSO's case, fearing the organization's mission of promoting competition would be a problem for the cohesion of hearings.
On Tuesday, the OCC voted to let AERO get involved with a clause restricting the nonprofit from talking about restructuring. AERO's attorney Diana Hall told the commission the group was grateful to be included.
"We have a number of PSO customers that we talk with on a regular basis, so we also have a strong interest in helping this commission lower the rates that PSO charges to its customers," said Hall
PSO's rate case would see the average residential Tulsan's bill increase by 10%, or about $14. It was the third rate hike proposed by the utility in one year.
The story from Monday:
An organization advocating for competition for Oklahoma's utilities has so far been excluded from participating in a rate increase case brought by Public Service Company of Oklahoma.
The rate case would see a 10% increase in the average PSO residential customer bill, amounting to about $14 more a month. The Alliance for Electrical Restructuring in Oklahoma, or AERO, filed a motion in December with the Oklahoma Corporation Commission that oversees rate cases to participate in upcoming hearings around PSO’s fees.
Last week, Commissioner Kim David voted twice to disallow the nonprofit from intervening. David, who is a newly elected commissioner, said she wasn’t sure the organization had a legitimate stake in the proceedings, noting that its "restructuring" mission may cause disruptions and be outside the purview of the OCC.
“I was having difficulty really trying see where AERO had interest in this case,” said David.
David didn’t respond to questions around her votes.
PSO has likewise objected to AERO’s participation. In a statement, PSO wrote, “This isn’t the first time AERO has attempted to use the regulatory process to promote its agenda through earned media and other benefits orchestrated by their PR firm. We respect the guidelines established for participation in cases and encourage AERO to do the same.”
Mike Boyd is the executive director of AERO. He said the nonprofit that's represented by public affairs firm Amber Integrated has a stake in the case as a representative for “thousands of ratepayers” and “businesses both large and small” consuming electricity from PSO that are paying substantially more now due to fees from 2021’s winter storm.
“The general public typically does not have a voice or a seat at the table, so our objective and our goal is simply to monitor the proceedings, and in the instance where AERO can offer comments, suggestions, options that would benefit ratepayers and provide an alternative to the monopoly model that the utility offers, that’s our intention and our goal,” said Boyd.
AERO’s restructuring model involves allowing any business to purchase electricity directly from an approved competitive retail supplier instead of from utility companies, a method that it says has worked well in other states to reduce costs through competition.
Boyd said AERO’s attorney would not be discussing restructuring at PSO’s hearings, however.
“That goes without saying. Obviously a rate case has very straight standards,” said Boyd, specifying AERO would be grateful to be involved to “represent Oklahoma ratepayers.”
Commissioner Bob Anthony spoke in support of AERO’s participation at last week’s meeting, pointing to an administrative law judge's approval of the organization's involvement.
“Just for a general comment, my position for a long, long, time, these are public utility rate cases and it’s helpful to have the public involved,” said Anthony.
The Oklahoma Corporation Commission will meet again Tuesday and will once again discuss whether or not AERO can intervene in PSO’s case.