Georgia Power pushed to expand solar program as state regulators consider 12% rate hike request

Published 12:02 pm Friday, November 11, 2022

ATLANTA — Another round of hearings in Georgia Power’s rate case concluded Thursday with the final day dominated by a debate over whether the utility should expand its popular rooftop solar program.

Georgia Power is pushing for a 12% increase in electricity rates over the next three years, along with other requests over the next year that could saddle ratepayers reimbursing for higher fuel costs and the snakebitten nuclear expansion at Plant Vogtle.

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The Public Service Commission hearings feature testimony from experts for Georgia Power, consumer advocacy groups, environmental organizations, solar power groups, government agencies and energy consultants. Next month, state regulators will decide how much more the company can charge its 2.7 million customers.

Starting next year, Georgia Power’s plan would increase residential customers’ monthly rates by $14.32 if state regulators approve it. Eventually, the monthly cost to keep the lights on would reach $16.29 by 2025, or about $200 per year.

In order to transition to cleaner energy generation and newer technologies, the company plans to invest $12 billion in infrastructure development and ramp up spending to retire its coal-fired power plants.

On Thursday, the company’s plans for rooftop solar was the dominant theme, with the company opposing expanding a popular rooftop solar program while also proposing to add a $200 rooftop solar connection fee to its customers.

Georgia Power and commissioners have expressed concerns about some solar companies misleading customers with false claims such as free solar and free electricity.

The company has also said that its proposal of rate options better ensures that the non-solar customers aren’t footing the bill for the homes powered by solar panels.

Several Georgia Power executives and managers testified during the initial rate case hearings in September. Final hearings are scheduled for Nov. 29-30 and Dec. 15, with the case to be decided by the five-member PSC on Dec. 20.

On Thursday, Commissioner Tim Echols asked how the 5,000 customers participating in the behind-the-meter solar program might benefit the rest of Georgia Power’s customers.

Echols proposed a motion in 2019 that led to Georgia Power expanding the rooftop solar program to 5,000 customers, which costs relatively little to subsidize. Meanwhile, Georgia Power benefited from billions of dollars of profits after the PSC approved a higher return on equity and stronger capital structure.

During the summer’s hearings for Georgia Power’s long-term plans, Echols failed to get the support needed to open the solar program to 75,000 customers. He said that he was willing to compromise on this proposal while asking solar experts Thursday if they can quantify how all customers might benefit from the solar rooftop households.