Georgia Power freezing base rates through 2027 under PSC agreement
Are you dreading your power bill? Some good news
The price of everything is going up. But one thing that may not be increasing is your Georgia Power bill. The utility reached a tentative deal with state regulators to keep rates steady for the next few years. But there's a catch.
ATLANTA - Georgia Power customers will not see a rate hike in 2025 after a newly announced agreement between the utility and the Georgia Public Service Commission’s Public Interest Advocacy Staff. Instead, the company will freeze base electric rates at current levels for at least the next three years.
What we know:
The agreement, made at the urging of all five Public Service Commissioners, means Georgia Power will not file a scheduled rate case in 2025, a move that PSC Chairman Jason Shaw called a major win for consumers.
The last base rate increase approved by the PSC came as part of a 2022 rate case, which allowed for phased hikes over three years. The final increase took effect in January 2025. Under that same order, Georgia Power was allowed to request a new rate case this year—but will now extend the current rate structure through 2027.
What’s in the Agreement:
No base rate increases until 2027
Storm recovery costs from Hurricane Helene will be deferred until 2026
PSC audit of storm damage costs is currently underway
Large-load customers, like data centers, will continue to pay for their own impact to prevent burdening residential customers
Georgia Power may use tax credits and internal financial tools to maintain stable pricing
What they're saying:
Georgia Power spokesperson John Kraft released a statement:
"At Georgia Power, customers are at the center of everything we do. As costs around the country rise, Georgia Power remains committed to providing our customers with clean, safe, reliable, and affordable energy. We are well-positioned to balance mutual benefits that are available as a result of the extraordinary economic growth taking place in our state. This stipulated agreement helps balance the affordability needs of our customers while ensuring Georgia Power remains equipped to continue its support of our state’s incredible growth – which is good for all of our stakeholders."
Public Service Commission Chairman Jason Shaw called this agreement "a very big deal.
"Energy customers have seen unprecedented inflation in the energy sector across the U.S. My fellow commissioners and I urged staff and Georgia Power to come to some agreement where base rates would not increase. This is nothing but good news for Georgia Power ratepayers. I look forward to delving into the details of this agreement as we conduct our public hearings," Shaw said in a statement.
The other side:
Isabella Ariza, staff attorney for environmental advocacy group Sierra Club, says Georgia Power can still ask for rate increases to cover the cost of damage from storms like Hurricane Helene.
"Although the headline is Georgia Power is going to freeze rates for the next three years, we don’t believe that’s going to happen," Ariza said. "Georgia Power says they can still file a rate case if they need to. We don’t believe it’s an acceptable loophole."
"The loophole would probably be to their advantage versus ours. We’d have no control over that," Payne said.
What's next:
The agreement still must be approved by the elected members of the Georgia PSC. It will be the subject of public hearings where intervenors—including environmental groups, consumer advocates, and large industrial customers—will have the opportunity to question witnesses from both Georgia Power and PSC staff.
Commissioners are barred from commenting on the specifics of the agreement until after testimony is presented and a vote is held in an open hearing.
The schedule for those hearings is expected to be set during the PSC's administrative session on Tuesday, May 20.
A copy of the joint petition and the full agreement is available on the PSC website here (see the fourth PDF titled "Georgia Power and PIA Staff Joint Petition to Extend the ARP").
The Georgia Public Service Commission is a five-member elected body responsible for regulating electric, gas, and telecommunications services in the state. For more information, visit psc.ga.gov.