Customers of Public Service Company of Oklahoma might soon see reduced electric bills as PSO applied with the Corporation Commission to reduce its monthly fuel cost recovery on bills.
In a Wednesday announcement, PSO said the request is due to lower costs for purchased power and the fuel to generate electricity. The utility submitted a request to the Oklahoma Corporation Commission asking to reduce the monthly fuel cost recovery on customer bills.
If approved as filed, the reduced fuel costs will be reflected on customer bills beginning with the May billing cycle. This will lower fuel costs for all customers, with residential customers seeing a 24 percent decrease in the fuel portion of their bills.
For a residential customer who uses 1,100 kilowatt-hours a month, the lower fuel factor will decrease their monthly bill by more than $9.00. For larger commercial and industrial customers, for whom fuel costs make up a significantly larger portion of their bill, the new prices will add up to thousands of dollars in savings.
“The reduction in the fuel cost adjustment is largely the result of continued lower prices for natural gas, which PSO uses to generate a substantial portion of the electricity used by our customers,” said PSO’s Matthew Horeled, vice president, Regulatory & Finance. “With the current state of the economy due to the COVID-19 pandemic, this reduction in fuel costs comes at a good time for our customers.”
The lower monthly fuel cost adjustment will remain in effect through the end of this year.