NEW DETAILS: Electric bills would rise 9% under AES Ohio settlement

The rate increase, if approved by state, would affect all customers
AES Ohio's Dryden Road operations center in Moraine. THOMAS GNAU/STAFF

AES Ohio's Dryden Road operations center in Moraine. THOMAS GNAU/STAFF

AES Ohio electric bills for customers using 1,000 kilowatt-hours of energy would rise 9% if state regulators approve a settlement reached Wednesday.

AES Ohio said a settlement was reached with stakeholders, including residential, commercial, industrial, and government customers, as well as staff working for the Public Utilities Commission of Ohio, also known as the “PUCO.”

If approved, the monthly bill for a typical residential customer using 1,000 kWh would increase by 9%, an increase the Dayton electric service provider said keeps its rates in line with its peers.

This is a rate increase that, if enacted, would affect all Dayton-area customers. The AES Ohio “standard service offer” covers energy supply or generation. At issue here are distribution rates, charges meant to cover the cost of delivering electricity from power plants to homes and offices.

AES Ohio said it has committed an additional $1 million for its “gift of power” program, a fund meant to help residential customers unable to pay electric bills and facing disconnection.

The Office of the Ohio Consumers Counsel said AES had requested a $235 million increase. The counsel’s office said it helped reduce the increase by about $70 million, pushing for the $1 million a year in shareholder-funded bill payment assistance.

Often when utilities propose to raise rates, they work with interested parties on refining the proposal. Originally, the company had applied to raise rates by 14%.

The settlement takes into account what AES Ohio says has been investing into infrastructure to improve safety, reliability, and resilience.

“The investments AES Ohio has made in our infrastructure and technology are about reliably delivering electricity and meeting our customers’ expectations,” AES Ohio President Tom Raga said in a statement. “We greatly value the collaboration with our stakeholders and the engagement of our customers as we work together to ensure a reliable and modern energy future for West Central Ohio.”

If approved by the PUCO, the settlement will “allow AES Ohio to move forward in recovering investments and managing costs essential to sustaining high-quality service and preparing for future demand,” the company said.

The PUCO has scheduled a public hearing Thursday evening at Dayton City Hall for residents to offer their views on the higher rates.

The hearing at the Dayton Municipal Building, 101 W. Third St., is scheduled to begin at 6 p.m.

Written comments can also be addressed to the Public Utilities Commission of Ohio, 180 E. Broad St., Columbus, Ohio, 43215.

Public comments can also be filed online, and all comments should reference AES Ohio case docket number 24-1009-EL-AIR.

AES Ohio has about 530,000 customers in west central Ohio.

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