GULFPORT, MS (WLOX) - GULFPORT, MS (WLOX) - Mississippi Power customers will get a break on their electric bills next year. The company announced Monday, electric bills will drop an average of three percent in 2011.
Due to lower fuel costs in 2010, Mississippi Power has requested a 5 percent decrease in the amount it recovers for fuel used in its generating plants. Under Mississippi law, Mississippi Power's fuel costs are recovered through a separate fuel adjustment filing.
Each year the Mississippi Public Service Commission adjusts Mississippi Power's prices up or down to reflect the fluctuating costs of the fuel used to make electricity. Mississippi Power's fuel costs are recovered from customers on a dollar-for-dollar basis and the company does not earn a profit on the fuel used to generate electricity.
Mississippi Power made its annual fuel cost adjustment and its Performance Evaluation Plan (PEP) filings with the Mississippi Public Service Commission and requested the reduction in the amount it recovers for fuel.
These two filings indicate retail customers could see an average rate decrease of approximately three percent in 2011. Customer impact will vary with electricity usage.
If these changes are approved, customers could see a reduction in rates as early as January 2011. For instance, these recommended changes mean electric rates for retail customers have been reduced more than 14 percent and almost 10 percent for residential electric rates over the last two years.