OGE wants higher electric rates—details coming in June

  • May 27, 2025

 

 

Details haven’t been released yet, but customers of Oklahoma Gas and Electric better brace for another rate hike request coming from the utility after recording an increase in 2024 net income to $470 million.

A recent filing with the Oklahoma Corporation Commission made by OG&E attorneys stated the company “hereby gives notice to the Oklahoma Corporation Commission of the Company’s intent to file an Application seeking to modify rates and charges for OG&E’s Oklahoma jurisdictional customers.”

The company indicated the modification would allow OG&E “to improve reliability and ensure a reliable electric grid for Oklahoma customers.”

The filing also said OG&E anticipates filing the application and supporting documentation on or about June 30, 2025. The application will include a request for a general rate change with a test year ending March 31,2025.

The utility has already received customer complaints about a June 1 increase in its fuel adjustment cost that OG&E announced to cutomers in a recent email notice.

“Because fuel prices have gone up over the last few months,
OG&E notified the OCC of the increase in the fuel charge earlier this month. The fuel charge will change on June 1, and the average residential customer will see an increase of $5.87 per month.”

“We understand any increase in bills can be difficult. That’s why we source and purchase fuel at the lowest cost possible to minimize the impact on customer bills and physically store lower cost fuel that we can use when prices increase. The OCC thoroughly reviews and approves any changes to your bill, and OG&E cannot profit from fuel costs.”
The request will be on top of a recent rate case settlement providing a $127 million base rate revenue increase that was effective July 1, 2024. In February, the utility announced earnings of $2.19 per diluted share in 2024, compared to $2.07 per diluted share in 2023. As the utility announced, OG&E contributed net income of $469.9 million, or $2.33 per diluted share, in 2024 compared to $426.4 million, or $2.12 per diluted share, in 2023. The increase in net income was primarily due to exceptional load growth and higher operating revenues driven by the recovery of capital investments, partially offset by higher depreciation and interest expense on a growing asset base, higher income taxes, and lower other income.

Jerry Bohnen