PSO Proposes Grid Modernization and Efficiency Plan
Public Service Company of Oklahoma () recently took important steps to ensure a safe, secure and reliable electric grid now and in the future under a more efficient regulatory framework. Additionally, the company is lowering charges to customers for purchased power and fuel used in power generation.
’s Grid Modernization and Efficiency Plan, filed with the Oklahoma Corporation Commission () is needed for to replace and upgrade aging electric infrastructure, while investing in new technology to maintain and improve reliability and efficiency.
A key element of the plan is the adoption of performance-based rates (). ’s proposed ties the company’s financial condition to its ability to meet a set of customer-focused performance standards, called performance incentive measures ().
“Customers benefit from our financial condition being tied to the achievement of certain levels of reliability, safety and customer satisfaction. They also benefit from reduced price volatility since rates would be gradually adjusted as costs go up or down” said Emily Shuart, director, regulatory services. “PSO remains committed to providing our customers with safe, reliable, and affordable service and our proposal holds us accountable for accomplishing that.”
The filing includes a request to adjust ’s rates to recover increased costs related to aging infrastructure, storms, taxes and other necessary business expenses. For a typical residential customer, the requested increase amounts to approximately $7 per month. The overall rate increase request is $88 million.
Beginning with October bills, most customers, including all residential customers will see a decrease in the amount they pay for purchased power and fuel for power generation. The typical residential customer will see lower fuel charges decrease their overall bill by approximately $5 per month.
’s Grid Modernization and Efficiency Plan is a comprehensive plan to meet customers’ increasing needs for enhanced reliability, convenience and integration of technology while mitigating potentially large price increases. The plan includes upgrades to aging infrastructure, to invest in and accommodate new technology and analytics to keep the grid safe and secure.
, a unit of American Electric Power (: ), is an electric utility company serving more than 550,000 customers accounts in eastern and southwestern Oklahoma. Based in Tulsa, has nearly 3,800 megawatts of generating capacity and is one of the largest distributors of wind energy in the state. News releases and other information about can be found at www.PSOklahoma.com.