The Alabama Public Service Commission (APSC) blamed the Biden administration for higher power bills across the state.
When power customers received their bill for January, they experienced sticker shock and could not believe some of their bills had more than doubled. The issue was not isolated to a single power company but experienced by customers across the state.
"One of the main reasons customers are seeing higher bills in recent weeks is because of the Biden administration's punitive and radical energy policies," a representative from the APSC told 1819 News. "Customers are facing unprecedented fuel costs, which are passed through to them, due to President Joe Biden's war on fossil fuels."
The APSC said it is looking into the causes of the spike in energy costs. The agency has received complaints and is looking at each individual complaint closely.
Other factors that have led to high power bills, the APSC said, are inflation, "outlandish" federal regulations, the increased cost associated with new depreciation rates, and increases in the cost of natural gas. An increase in natural gas from around $2 per MMBtu (million British thermal units) to $10 per MMBtu resulted in approximately $600 million in under-recovered fuel costs.
"This increase resulted in upward adjustments in Alabama Power's fuel charge," the APSC explained. "Although natural gas costs have now decreased to around the $2.30-$2.50 range. The under-recovered amount is now approximately $245 million that must be collected from customers as a pass-through cost."
While some questioned whether technology and smart meters could be the problem behind the increased power bills, no evidence has shown an issue with those apparatuses. The APSC said it has looked into the possibility of a cyber event or computer glitch and does not believe that to be the cause. However, customers are encouraged to pay attention to their bills and check how much power use has been listed monthly.
The APSC said it is closely monitoring the operations of Alabama Power on a real-time basis.
To connect with the author of this story or to comment, email erica.thomas@1819news.com.
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