MONTGOMERY, Ala. (WIAT) — Alabama Power will be giving refunds to residential customers this August after over-collecting money in 2022. Some customers have mixed feelings about the refunds.
Kevin Billups stopped in to pay a bill at Alabama Power’s Montgomery location Thursday. He says it’s been harder to do that lately.
“It was very extremely high these last couple months, the light bill. So, for them to give a rebate and try to help the customer out, I think it’s great,” Billups said.
The power company raised rates three times in 2022 citing inflation and economic conditions. But they brought in about $62 million above the company’s allowed range in 2022.
Because of that extra revenue, Alabama’s Public Service Commission voted Tuesday to direct Alabama Power to refund customers on their August bills.
“I think a direct refund is the best way to proceed here, but I also believe the refund would be more impactful if it is made during the summer when residential usage and therefore, their bills, are higher and would equate to a larger return for those consumers,” Commission President Twinkle Cavanaugh said during the meeting.
Billups and others paying their bills Thursday say they’d rather have their money back now.
“People might not even be able to make it to August. If you’re like me, you’re living day to day. So, we need money right now,” Billups said.
“I think we should get it back sooner. Because we could use it to reduce our bills,” Willie Perry, another Alabama Power customer, said.
A spokesperson for Alabama Power says they will have more information on how much customers will be getting back in the coming days. The company has not shared details on how this overcollection happened.
Public Service Commission members were not available to interview Thursday but said in a statement the refund will be allocated to those who used electricity in July, August and September of 2022.