AEP customers will see a 28% price hike starting Thursday, increasing costs to power their homes by over $40 for the average customer.
Customers were notified of planned increases to their utility bills in March. The company said the increases, which were approved by the Public Utilities Commission of Ohio, are a combination of higher generation supply prices and increased energy use, especially during the summer months.
AEP plans to use the additional revenue to invest $2.2 billion in upgrades to the electric grid that they say will make the grid more reliable and support the growth driving an increased need for electricity in central Ohio with new lines and substations.
The average AEP customer uses over 900 kilowatt-hours of energy a month. This price hike increases a monthly bill for the average customer from $155 to $198.
The Ohio Consumers' Counsel, which advocates for residential utility consumers, told WOSU in April that this is not the time to increase consumers' bills to increase company profits.
The utility company serves 1.5 million customers in Ohio, almost 90% of whom are residences.
