Alabama Power customers are beginning to benefit this month from a decision made by the Alabama Public Service Commission related to federal tax reforms.
Starting with July bills, the typical monthly bill for a residential customer is being reduced by more than $9 each month for the remainder of the year. The savings will be reflected in the “Total Due” section on monthly bills for the remainder of the year.
“We are pleased to begin providing these savings to our customers,” said Richard Hutto, vice president of Regulatory Affairs for Alabama Power.
The federal tax reform legislation, approved late last year, lowered corporate income tax rates, which reduces taxes for Alabama Power. Taxes levied on the company are passed on, so a lower tax rate directly benefits Alabama Power’s 1.4 million customers.
This is the first portion of $337 million in savings coming to all Alabama Power customers through 2019.