AP analyzes impact of Mississippi Power’s proposed rate increase

KEMPER COUNTY — Regulators meeting Friday could allow Mississippi Power Co. to collect an additional $58.6 million in the last six months of 2012. That would start paying for the $2.76 billion power plant the company is building in Kemper County.

Filings made Thursday with the Public Service Commission show that the average residential customer’s bill could go up $15 to $20 a month, if a majority of three commissioners approve.

It’s unclear whether commissioners will vote Friday or later.

The increase would be crammed into six months, pushing average bills for all users 15.7 percent higher in that period.

PSC staff members have proposed that commissioners cut the overall rate increase by $3.3 million, to $55.3 million.

The company has already spent $1.4 billion on Kemper, about half of which is borrowed.

Here’s what Mississippi Power Co.’s proposed rate increase could mean to its 185,000 customers, according to an analysis from The Associated Press. If approved, the higher rates would be collected over the last six months of 2012, meaning the effect on remaining months would be twice as high as if increases were spread out over a year.

RESIDENTIAL CUSTOMERS: The average residential customer would pay 8.4 percent more on a yearly basis under Mississippi Power’s projections, or 16.8 percent month over month. That’s $126.61 more from July through December, or $21.10 a month.

COMMERCIAL CUSTOMERS: The average commercial customer would pay 8.3 percent more on a yearly basis, or 16.6 percent month over month. That’s $621.42 more from July through December, or $103.57 a month.

INDUSTRIAL CUSTOMERS: The average industrial customer would pay 7.1 percent more on a yearly basis, or 14.2 percent month over month. That’s $37,274.59 more from July through December, or $6,212.43 a month.

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2 Responses to “AP analyzes impact of Mississippi Power’s proposed rate increase”

  1. robert barrilleaux Says:

    I wonder what kind of high paying job MPC has promised to the 2 commissioners who vote for MPC’s increase when they are voted out of office during the next election. what a disgusting rip off. the southern co. collects billions each year and is able to get a loan to cover the cost of building this plant. the sad part is that it could have been built for much less and operated for much less had they opted to use natural gas which is now plentiful and cheap.

  2. Barbara Correro Says:

    I agree with Robert Barrilleaux. In addition to this, I live in the footprint of the plant. Unless, you experience the destruction (noise, dirt, light) it would impossible for you to imagine the torture I have gone through. Habitats have been destroyed and this is just the beginning of the deterioration of air and water and the quality of life both for humans and animals. Greed has taken over my neighbors. They have either leased or sold out to the plant. In some cases pitting neighbor against neighbor and it would be interesting to hear the stories underneath the roofs of folks that are having heated discussions re selling the family farm that has been in the family for generations. There are so many people here, including me, that have retired here and built their home for peace, clean air and water. Now, that is gone.
    If I had not met the Sierra Club, I feel sure that I would be on some anti-depressant by now. It is a sad, sad day that the PSC did not stand up for the rights of the people they are supposed to serve.

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