Cheaper fuel leads to Mississippi Power rate cuts

Published 7:00 am Thursday, January 7, 2016

Mississippi Power customers will notice a reduction in their total monthly bill as early as February.

Tuesday, the Mississippi Public Service Commission approved the power company’s 2016 fuel cost request, which will reduce a portion of customer bills relating to fuel. In a press release from Mississippi Power, a residential customer will notice an average savings of $13.70 on their monthly bill, if they use 1,000 kWh of electricity per month.

“This filing reaffirms Mississippi Power’s commitment to providing clean, safe and affordable electricity to our customers,” Mississippi Power President and CEO Anthony Wilson said in the press release. “Our ability to take advantage of lower fuel costs and the reliability of our generating units and the employees that operate them are directly benefitting customers.”

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The request was proposed in the power company’s annual fuel filing in November 2015. Customers will see a reduction in their bills starting with the first billing cycle in February, according to the press release.

The release also states that the customers’ savings are possible because Mississippi Power is paying less for fuel to generate electricity. Adding, the fuel cost is a separate unit of customers’ electric bills and the power company doesn’t earn profit on fuel costs.