OKLAHOMA CITY, March 20, 2017 /PRNewswire/ -- More than a
year after filing for a rate increase with the Oklahoma Corporation
Commission, Oklahoma Gas and Electric received an order today
granting an $8.9 million rate
increase. This is the first increase granted to OG&E since
2012.
"While the Commission did allow the recovery of $1.6 billion in investments we made in new
electric infrastructure since our last rate case, they extended the
useful financial lives of some of that equipment beyond 100 years,"
OG&E spokesman Brian Alford
said. "While that lowers rates today, it shifts the burden to
customers in the future. We are disappointed by this approach."
The company expressed disappointment over individual components
of the order including the allowed return on equity. The Commission
ordered a 9.5 percent ROE, down from the company's current 10.2
percent.
"The national average for comparable utility ROEs is currently
9.77 percent, and OG&E is a high performing utility," Alford
said. "Our rates are among the lowest in the country, reliability
is strong and customer satisfaction high and yet we received an ROE
well below the national average."
The final order will result in a monthly increase of
approximately 71 cents per month for
an average residential customer which will be offset by a refund
from interim rates that were put into effect in July, 2016.
"As a result of this rate order, we will evaluate all of our
options including customer investments and programs," Alford
said.
Oklahoma Gas & Electric Company, a subsidiary of OGE Energy
Corp. (NYSE: OGE), is Oklahoma's
largest electric utility. For more than a century, we have provided
customers in Oklahoma and western
Arkansas the safe, reliable
electricity needed to power their businesses and homes at rates
below the national average. Our employees are committed to
generating and delivering electricity, protecting the environment
and providing excellent service to our 845,000 customers. OG&E
has 6,667 MW of electric generation capacity fueled by low-sulfur
coal, natural gas, wind and solar. OG&E is recognized as a
leader in smart grid technology, leveraging this platform to
provide customers with the award-winning SmartHours®
program and setting the stage for an electric vehicle program that
will include some level of public charging infrastructure, and
advanced LED street and security lighting. OG&E employees live,
work and volunteer in the communities we serve.
For more information about OG&E, visit us on the Internet at
http://www.oge.com or follow us on Facebook:
www.facebook.com/ogepower and Twitter: @OGandE.
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SOURCE OGE Energy Corp.