The News Courier in Athens, Alabama

January 10, 2013

Ala. PSC rejects call for formal review of rates


Associated Press

— MONTGOMERY, Ala. (AP) — The Alabama Public Service Commission has blocked Commissioner Terry Dunn's request for a formal review of the rate structures for Alabama's three largest investor-owned utilities.

Dunn made a motion Thursday for formal reviews of Alabama Power, Alabama Gas and Mobile Gas, but commissioners Twinkle Cavanaugh and Jeremy Oden said an informal process is the best way to proceed. That will begin later this month with Mobile Gas.

A formal review is a judicial-like proceeding involving experts and attorneys. Oden said an informal review is more like people sitting around a kitchen table where everyone can have a voice.

Dunn wanted a formal review because he said the PSC's rate structures provide for three utilities with returns on equity of above the national average.