Georgia Power has completed an assessment of the impact of the Tax Cuts and Jobs Act and has revealed approximately $1.2 billion in benefits for customers. The benefits were confirmed as part of an agreement with Georgia Public Service Commission (PSC) Staff and include approximately $130 million in reduced taxes on financing costs for the Vogtle nuclear expansion; $330 million in direct credits to customers as a result of lower federal income tax rates over the next two years and approximately $700 million in future benefits to be addressed in the company’s next base rate case in 2019, which also includes the benefits of last week’s reduction in state of Georgia income tax rates. If approved by the Georgia PSC, the typical residential customer using an average of 1,000 kilowatt-hours per month could receive approximately $70 in refunds over the two-year period.
“We are committed to offering the highest customer value with rates below the national average, and we’re pleased to be able to continue to pass the benefits of the new tax laws on to our customers,” said Paul Bowers, chairman, president and CEO of Georgia Power. “We appreciate the collaborative effort with Georgia PSC Staff to evaluate the new tax laws and reach a joint agreement, which we hope the Commission will review and approve as the best way to deliver benefits to customers as quickly as possible.”
Georgia Power is currently authorized by the Georgia PSC to earn a return on equity (ROE) of 10 percent to 12 percent per year. The company works to efficiently manage its business while providing customers with reliable and affordable service and recently announced a 2018 refund of $43.6 million attributed to the company earning above its allowed range in 2016. Refunds are currently in progress and typical residential customers can expect to see a credit of approximately $9.50 on Georgia Power bills issued in March.
To learn more about how Georgia Power is delivering reliable and affordable energy for millions of Georgia customers, visit www.GeorgiaPower.com.