AEP Ohio customers to see nearly 30% hike in electric bill starting this summer - 10TV

AEP Ohio raising electric bills this summer | 10tv.com
COLUMBUS, Ohio — AEP Ohio customers will see a significant price increase in their electric bill starting in the summer. The power company posted on its website and emailed customers saying "a combination of higher generation supply prices and increased energy use, especially during the summer months, will lead to increases in electric bills for many customers beginning in June." The average customer using 1,000 kilowatt-hours of energy each month can expect their bill to increase 28% from about $155 a month to $198 a month. AEP Ohio blamed global demand, global supply chain issues, economic uncertainty and the war in Ukraine on having an impact on the cost to produce electricity. The company noted it is a wires company and it does not generate the power, it is just responsible for delivering the power. AEP Ohio said a competitive auction is used to procure generation supply. Energy supply companies submit bids in the auction for the opportunity to supply energy to customers for a specified period of time. "During the most recent auctions, held in November 2022 and March 2023, the cost of procuring generation supply increased significantly and AEP Ohio is required to pass these costs along to customers," the company said. "The results of these two auctions are blended to create the new rate."

The new rate will be in effect until May 2024.