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AES Price Hike Approved

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AES Ohio Customers Can Expect Bills To Rise

AES price hike approved by PUCO could add more than $40 per year to Dayton area electric customer bills. Learn how the OCC plans to fight it.
Learn why AES Ohio customers face a price hike that could add over $40 more this year to their bills. Find out how the OCC is fighting it.

It’s exactly what you don’t want to hear. If you are an AES Ohio customer, your bills will be going up. At the end of May 2024, PUCO approved a 53% increase to transmission charges. While there are plenty of objections to this increase, those are still in the legal pipes. As a result, the case may not resolve before in time to help your summer electric bills. So let's see how much can you expect to pay with the AES price hike in place

Why Does AES Want a Price Hike?

In August, 2023, the PUCO authorized AES Ohio to add a transmission cost recovery rider (TCRR) to its bills. The TCRR charge recovers transmission costs charged to AES by the Federal Energy Regulatory Commission (FERC) or PJM Interconnection. In March 2024, AES applied to update TCRR rates to go into effect on its June 2024 bills.

On March 22, the Ohio Consumers’ Counsel (OCC) moved to intervene on behalf of AES Ohio residential customers. The OCC claims there is little oversight in these rate increases. They argue that PUCO should look over the further to avoid over-charging customers. Since PUCO has overruled the final objection posed to them, the OCC is turning to the Federal Energy Regulation Commission (FERC) to review the objection and rule on the rate increase. They expect a ruling in the coming weeks.

AES transmission price hike will raise Dayton area electricity customers.
Dayton area electricity consumers can expect to pay more this year due to a AES transmission price hike.

AES Price Hike Affects Consumers

According to the OCC, this rate increase would add around $40 every year to the average AES Ohio bill. Broken down, this equals around $3.33 per month. Tor the average AES Ohio customer, this isn’t a huge monthly increase. But with fluctuating energy costs due to rising summer temperatures, this could push bills beyond budget friendly means. Currently an AES Ohio bill averages around $89. This could easily push bills into the $93-95 area.

Why Is AES Ohio Raising Transmission Rates?

AES Ohio does have valid reason to increase transmission rates. The charge will go towards replacing old transmission equipment, and expansion projects. These increases also go towards repairs from increasingly strong storms that have ripped through the region. Additionally, increased demand from residential electric vehicle charging, hot power line problems from rising temperatures, and costly transmission repairs are quickly becoming a significant problem for utilities. In other words, the Ohio grid needs to better withstand severe weather and that costs money. Unfortunately, these transmission rate increases pass that on to consumers.

Bill Increases Affect Your Electricity Rates

With the transmission rates increasing, this affects all AES Ohio customer bills. So, switching your provider isn’t going to get you out of a transmission rate increase. However, switching your Dayton electric provider can help lessen the blow. By shopping around for a new lower rate, you can keep your electricity bills from becoming overwhelming with new fees. There are also tons of tips you can try to keep your electricity usage down. And if you are planning one looking for a new rate, you can shop all the best prices in the Dayton area right here on www.ohenergyratings.com

Information about 45419 Electricity, and Natural Gas

Zip Stats for Dayton 45419

Dayton, Ohio, 45419 covers 3.85 square miles and has a population of 15159 people. This makes 45419 the 291st most populated zipcode region in Ohio.

Area codes in 45419 include 937.

4 Cities Nearest to Dayton

Smaller Zipcodes around 45419

ZipcodePopulation
4524615,133
4563115,048
4540315,006
4404114,979
4406214,972