Georgia Power bills expected to decrease in 2016
11 percent fuel rate reduction helps lower bills for customers
ATLANTA – Oct. 2, 2015 – Georgia Power announced today that it has made its final compliance filing with the Georgia Public Service Commission (PSC) as required by the company’s 2013 rate settlement agreement. The filing indicates a 2016 base rate adjustment of $144 million or 1.8 percent, which is $26 million less than originally projected in 2013. The estimated $2.45 per month increase will be more than offset by the recently announced fuel rate decrease of approximately $4 on the typical residential customer’s 2016 bill.
More than 50 percent of the base rate adjustment is associated with the cost to comply with recent federal regulations by the Environmental Protection Agency (EPA), such as the Mercury Air Toxics Standards (MATS) Rule. Georgia Power is also recovering costs of investments in infrastructure required to maintain high levels of reliability and superior customer service.
If current filings are approved by the PSC, new lower bills for customers will be possible beginning Jan. 1, 2016.
Georgia Power remains committed to delivering clean, safe, reliable electricity at rates below the national average. Since 1987, the company’s rates have averaged nearly 13 percent below the national average and increased less than the rate of inflation for most of that time. To learn more about how Georgia Power is keeping rates as low as possible while providing safe and reliable electricity to 2.4 million customers, visit www.GeorgiaPower.com.
About Georgia Power
Georgia Power is the largest subsidiary of Southern Company (NYSE: SO), one of the nation’s largest generators of electricity. Value, Reliability, Customer Service and Stewardship are the cornerstones of the company’s promise to 2.4 million customers in all but four of Georgia’s 159 counties. Committed to delivering clean, safe, reliable and affordable energy at rates below the national average, Georgia Power maintains a diverse, innovative generation mix that includes nuclear, 21st century coal and natural gas, as well as renewables such as solar, hydroelectric and wind. Consistently recognized as a leader in customer service, Georgia Power was recently ranked highest in overall business customer satisfaction among large utilities in the South by J.D. Power and Associates. For more information, visit www.GeorgiaPower.com and connect with the company on Facebook (Facebook.com/GeorgiaPower) and Twitter (Twitter.com/GeorgiaPower).
Cautionary Note Regarding Forward-Looking Statements
Certain information contained in this release is forward-looking information based on current expectations and plans that involve risks and uncertainties. Forward-looking information includes, among other things, statements concerning expected impacts on rates. Georgia Power Company cautions that there are certain factors that could cause actual results to differ materially from the forward-looking information that has been provided. The reader is cautioned not to put undue reliance on this forward-looking information, which is not a guarantee of future performance and is subject to a number of uncertainties and other factors, many of which are outside the control of Georgia Power Company; accordingly, there can be no assurance that such suggested results will be realized. The following factors, in addition to those discussed in Georgia Power Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2014, and subsequent securities filings, could cause actual results to differ materially from management expectations as suggested by such forward-looking information: the impact of recent and future federal and state regulatory changes and also changes in tax and other laws and regulations to which Georgia Power Company is subject, as well as changes in application of existing laws and regulations; current and future litigation, regulatory investigations, proceedings, or inquiries; the effects, extent, and timing of the entry of additional competition in the markets in which Georgia Power Company operates; variations in demand for electricity; available sources and costs of fuels; effects of inflation; the ability to control costs and avoid cost overruns during the development and construction of facilities, which include the development and construction of generating facilities with designs that have not been finalized or previously constructed, including changes in labor costs and productivity, adverse weather conditions, shortages and inconsistent quality of equipment, materials, and labor, contractor or supplier delay, non-performance under construction or other agreements, operational readiness, including specialized operator training and required site safety programs, unforeseen engineering or design problems, start-up activities (including major equipment failure and system integration), and/or operational performance (including additional costs to satisfy any operational parameters ultimately adopted by the Georgia Public Service Commission (“PSC”)); the ability to construct facilities in accordance with the requirements of permits and licenses, to satisfy any environmental performance standards and the requirements of tax credits and other incentives, and to integrate Plant Vogtle Units 3 and 4 into the Southern Company system upon completion of construction; state and federal rate regulations and the impact of pending and future rate cases and negotiations, including rate actions relating to fuel and other cost recovery mechanisms; the ability to successfully operate generating, transmission, and distribution facilities and the successful performance of necessary corporate functions; legal proceedings and regulatory approvals and actions related to the Plant Vogtle expansion, including Georgia PSC approvals and Nuclear Regulatory Commission actions and related legal proceedings involving the commercial parties; the inherent risks involved in operating and constructing nuclear generating facilities, including environmental, health, regulatory, natural disaster, terrorism, and financial risks; the ability of counterparties of Georgia Power Company to make payments as and when due and to perform as required; the ability to obtain new short- and long-term contracts with wholesale customers; the direct or indirect effect on Georgia Power Company’s business resulting from cyber intrusion or terrorist incidents and the threat of terrorist incidents; interest rate fluctuations and financial market conditions and the results of financing efforts; changes in Georgia Power Company’s credit ratings, including impacts on interest rates, access to capital markets, and collateral requirements; the impacts of any sovereign financial issues; the ability of Georgia Power Company to obtain additional generating capacity at competitive prices; catastrophic events such as fires, earthquakes, explosions, floods, hurricanes and other storms, droughts, pandemic health events such as influenzas, or other similar occurrences; the direct or indirect effects on Georgia Power Company's business resulting from incidents affecting the U.S. electric grid or operation of generating resources; the effect of accounting pronouncements issued periodically by standard-setting bodies. Georgia Power Company expressly disclaims any obligation to update any forward-looking information.
For further information: Media Relations (404) 506-7676 or (800) 282-1696 www.georgiapower.com