Consumer Energy Program

As we welcome the cooler weather of winter, I think about those who will be struggling to stay warm and pay their winter heating bills. Just a few weeks ago, two men died in their Kennesaw home because they couldn’t afford to pay their power bill. Georgia Power shut off their power, and with temperatures dropping near freezing, they borrowed a generator from a neighbor to keep the electricity on. Unfortunately, generators create carbon monoxide – a silent killer.

This is heartbreaking and happens far too often. Stories like this are the ones that make our work here at Georgia Watch so critical. The ability of someone to afford their utility bills can result in a life or death situation.

Georgia Watch advocates tirelessly for Georgia Power’s 2.3 million customers and Atlanta Gas Light Company’s 1.5 million customers who are often put in this type of situation. We work for lower, fair utility rates, and we stand up for residential and small business customers. We speak up for everyday Georgians, not special interests. The utilities and large customers are well represented by lobbyists and lawyers in the halls of the capitol and at the Public Service Commission.

Throughout 2011, Georgia Watch achieved many victories for consumers Learn more about Georgia Watch and its accomplishments here.

Low-income and senior Georgians who aren’t able to pay their heating bills were given a $10 million boost from state utility regulators this week when the Public Service Commission approved the use of emergency funds to ensure that families and individuals don’t go cold this winter.

Starting in December, these emergency assistance funds will be used to assist with heating bills as well as reconnect heat for those who have had their heat turned off within the last 45 days. The $10 million is coming from the universal service fund that Atlanta Gas Light usually utilizes to extend natural gas pipelines to where new homes and businesses are being built. Money for the fund comes from AGL’s industrial customers and its wholesale services unit, Sequent Energy Management. Learn more about the program and how you can apply for this help.

Even though temperatures are still fairly warm, fall’s much cooler weather is just around the corner! Before you know it we will be turning on our heat to keep warm during the colder fall and winter months. Historically, September has been a good time to lock in a “fixed” natural gas rate (i.e., a rate which remains the same over the term of the contract). If you would prefer not to lock in to a fixed rate contract, you may also choose a gas marketer’s “variable” rate plan which, as its name suggests, varies from month to month, depending on market conditions. The rate may increase, decrease or stay the same from one month to the next. Read more

Created in January 2009, the Consumer Energy Program (CEP) is a passionate advocate on behalf of Georgia’s residential and small business customers in energy-related matters at the Public Service Commission (PSC) and the Capitol.

We stand up for lower utility rates and cleaner, more efficient energy solutions.

We are led by former Public Service Commissioner and Georgia Watch executive director Angela Speir Phelps and former PSC attorney and Georgia Watch senior counsel Clare McGuire.

Over the last two years, the Consumer Energy Program has:

  • Pushed for $7 million of aid to assist Georgians with winter heating bills
  • Opposed Georgia Power’s massive $2.1 billion rate increase in 2010 on behalf of its 2.4 million customer
  • Challenged Atlanta Gas Light’s $54 million rate request in 2010 on behalf of its 1.5 million customers
  • Built a broad coalition of business groups and advocacy organizations across the state to oppose utility rate increases in 2010
  • Sponsored expert witness testimony and formally intervened in PSC proceedings to represent ratepayer interests
  • Advocated for greater transparency and accountability at electric membership corporations on behalf of the state’s 4.5 million EMC customers
  • Fought against legislation to require ratepayers to pre-pay at least $1.6 billion of financing charges and taxes for nuclear plant construction by Georgia Power, resulting in $1 billion of early profits for the company
For decades, the Consumers’ Utility Counsel (CUC), a division of the Governor’s Office of Consumer Affairs, represented Georgians in cases before the PSC. However, that voice for residential and small business owners was silenced when the CUC was defunded in 2008. As a result, Georgians were left without representation in PSC matters.With skyrocketing energy bills and the interests of utilities as firmly entrenched across the state as ever, the Consumer Energy Program serves a vital role in protecting ratepayers in important cases at the PSC.

The Consumer Energy Program will continue to advocate for lower utility bills and a more diversified state energy portfolio to mitigate future rate increases.

August 2, 2011

The Public Service Commission has voted unanimously to adopt a settlement that will result in ratepayers’ footing the entire bill for any and all cost overruns incurred during the construction of Plant Vogtle units 3 and 4, while allowing Georgia Power to continue to earn more than 11 percent if such overruns occur.

“This settlement is yet another example of the Public Service Commission caving in to pressure from Georgia Power and placing the financial interests of the utility above those of everyday hardworking Georgians- including thousands of business customers who are Georgia Power ratepayers,” said Georgia Watch Executive Director Angela Speir Phelps, herself a former public service commissioner. Read more

July 29, 2011

For months, state regulators at the Public Service Commission and attorneys for Georgia Power have been tasked with negotiating a risk sharing mechanism (RSM) to provide some protection for ratepayers in the event of cost overruns for the two new nuclear reactors under construction at Plant Vogtle.

Mere days before a final vote by the PSC, state regulators appear to have caved in to Georgia Power’s staunch opposition to any such mechanism by entering into a settlement agreement with the Company that does no more than re-state Georgia law and current regulatory policy. The settlement expressly provides that PSC staff will withdraw its support of the two risk sharing mechanisms it has previously submitted for Georgia Power’s and the Commission’s consideration. Read more

July 22, 2011

Earlier this week, staff members at the Public Service Commission caved in from pressure by Georgia Power and withdrew its latest “risk sharing mechanism” (RSM) proposal for construction costs of the two new reactors at Plant Vogtle. The Staff RSM would have provided at least a minimal level of protection for Georgia Power ratepayers against massive cost-overruns. Without an RSM, ratepayers will be responsible for paying millions more in early profit in the likely event of construction delays and ballooning costs.

In a brief submitted to the PSC, Georgia Watch Consumer Energy Director Clare McGuire says ratepayers are now unfairly exposed to cost overruns, while Georgia Power shareholders carry little to no risk.

“For Georgia Power to take the position that no RSM whatsoever is necessary when – pursuant to Georgia law – ratepayers are already on the hook for unlimited cost overruns, shows a staggering disregard for ratepayers’ financial well-being, especially when such a stance is taken in the same calendar year in which ratepayers have already been saddled with a 10 percent monthly base rate increase and the imposition of the Nuclear Construction Cost Recovery charge, the combined impact of which is approximately $15 per month for an average use customer.” Read more

July 6, 2011

Georgia Watch intervened today on behalf of ratepayers before the Public Service Commission (PSC) in support of a cost control plan for the construction of two new reactors at Plant Vogtle, near Augusta.

Specifically, Georgia Watch advocated for a risk sharing mechanism (RSM) that spreads the project’s financial burden in the event of cost overruns. This position is also shared by PSC staff. Reports have already indicated that construction is months behind, with additional delays on the horizon due to increased scrutiny by federal regulators. Read more

June 22, 2011

If Plant Washington, the controversial Power4Georgians (P4G) proposed coal-fired power plant becomes a reality, Georgia consumers would see their electric bills skyrocket 10-20 percent in the first year depending on which electric member cooperative (EMC) they receive electricity from, as opposed to an expected two percent increase in the absence of the plant.

That is the main finding of a new Georgia Watch and TR Rose Associates study released today. Titled “Power4Georgians Plant Washington Coal-Fired Power Plant: Too High a Price for Consumers,” the report concludes: “If the proposed plant is built, rate increases will no longer be modest. The plant will also cause long-term financial headaches for the electric membership cooperatives (EMC’s) and others who sign on to purchase power from Plant Washington.”

Read more

May 31, 2011

Georgia is experiencing an extreme heat wave that can be dangerous – especially to the most vulnerable, such as the elderly, sick, and very young. When temperatures rise, Georgia Power customers should be aware that Georgia Power cannot disconnect service when the National Weather Service has issued a heat advisory, as predicted for tomorrow.

The extreme weather rule has been in effect since January 2009 and is part of the Public Service Commission’s seasonal restrictions, which also includes a ban on disconnections during winter months when temperatures fall below 32 degrees. Read more

May 24,2011

Due largely to lower natural gas prices than expected, the Georgia Public Service Commission (PSC) voted 4-1 today to decrease Georgia Power’s Fuel Cost Recovery (FCR) rate by $0.64 per month for the typical 1000 kWh residential customer.

Georgia Watch formally intervened in the case on behalf of residential and small business customers and supported the decrease. Read more

May 18, 2011

Georgia Watch has been selected by the most distinguished consumer utility advocates in the country to join the National Association of State Utility Consumer Advocates (NASUCA), the oldest and most trusted independent authority on national and statewide regulatory proceedings.

For more than 35 years, NASUCA’s coalition of advocates has worked on behalf of ratepayers by analyzing data and developing positions on legislative and regulatory proposals that affect utility pricing, energy efficiency, and renewable energy. Read more

May 4, 2011

Georgia Power’s residential customers may not realize it, but they have a choice when it comes to which rate they pay for their electric service.

By default, residential customers are put on Georgia Power’s “Standard Service” rate plan. The plan has a monthly base charge and a rate that changes based on your monthly usage and the time of the year. According to Georgia Power, this plan works best for customers who are comfortable with fluctuations in their monthly electric bill and less likely to alter their electricity habits in the summer months. Read more

May 3, 2011

Higher Georgia Power base rates took effect in January 2011, causing an average customer’s bill to increase by almost $11 per month. Georgia Power customers also started paying the Nuclear Construction Cost Recovery charge in January 2011 – almost $4.00 per month for the average customer.

Since many customers have already seen their bills increase by almost $15 per month or more, take control of your electricity usage in the upcoming summer months by adopting these good habits: Read more

April 20, 2011

As the next step of ongoing negotiations between Georgia Power and state regulators, the Public Service Commission has scheduled special hearings on a proposal to control construction costs for the two new reactors at Plant Vogtle. State regulators at the PSC want to incentivize Georgia Power to finish the new units on time and under budget. They have urged commissioners to adopt a risk sharing mechanism (RSM) that slightly reduces Georgia Power’s profit margin if construction costs rise above $6.4 billion, or $300 million over budget. Read more