Increase in fee is sought by AEP

Without higher charge, company fears fiscal crisis

COLUMBUS — “American Electric Power is asking state regulators to allow the company to increase a fee it charges customers who switch from the utility’s service to an alternative electricity provider.

Without this charge, which would apply to both residential and business customers, the Columbus-based company warns that it might face a financial crisis. Those concerns arose last week after regulators threw out a controversial rate plan, causing AEP shares to fall sharply.

…AEP is proposing that the charge be set at $255 per megawatt-day for customers who sign up for an alternative provider in the next few months, which is about 1.6 cents per kilowatt-hour. Customers who switched from AEP to an alternative provider in recent months still would pay the lower charge.”

— Dan Gearino, Columbus Dispatch

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