The Georgia Public Service Commission (PSC) is poised to implement a potentially burdensome energy tax, exacerbating recent and impending electricity price hikes for Georgia consumers.
Expected to vote on the 2023 Integrated Resource Plan Update, the PSC is likely to greenlight Georgia Power’s proposal to construct three new gas-fired combustion turbines at Plant Yates, without guaranteeing against electricity rate increases in 2025. Critics argue that this plan primarily serves the interests of Georgia Power, a monopoly utility focused on maximizing corporate profits, allowing its affiliate companies to profit from decades of fuel supply to the new fossil power plant.
Over the years, the PSC has been criticized for its leniency towards Georgia Power’s proposals, including the approval of the $35 billion Vogtle nuclear project, considered the most expensive power project in the United States. The commission’s policies are perceived to prioritize economic growth at the expense of lower-income residential customers.
According to reports by WABE, Georgia Power customers are facing six planned bill increases between 2023 and 2025, including three from rate cases, two for Vogtle nuclear construction costs, and an additional increase to cover higher-than-expected natural gas costs. Notably, the PSC’s rejection of a proposal for Georgia Power to share 5% of natural gas costs places the entire burden on customers, raising concerns about corporate profiteering at their expense.
Critics argue that the PSC’s neglect of cost-effective solutions such as residential and commercial rooftop solar and storage is troubling. Despite the potential benefits of reducing electricity bills, promoting energy independence, and fostering grassroots economic growth, the commission and Georgia Power have prioritized maintaining the utility monopoly and corporate profits over embracing alternative energy sources. This approach, critics warn, locks Georgia into decades of fossil fuel dependence and imposes a significant energy tax on consumers.
Furthermore, concerns have been raised about the close relationship between the PSC and Georgia Power, evident in secret stipulation agreements negotiated behind closed doors and released just minutes before oral hearings. Critics argue that these agreements, if approved, would prioritize costly fossil gas operations over lower-cost alternatives, undermining trust in the regulatory and democratic processes.
Advocates urge the PSC to reject the Plant Yates combustion turbines and fossil capacity expansions, instead considering solutions like Virtual Power Plants and residential solar plus storage programs. Virtual Power Plants can optimize energy usage and reduce costs by aggregating distributed energy resources, while residential solar plus storage solutions empower individuals to manage their energy consumption and reduce reliance on the grid, contributing to a more sustainable energy future for Georgia.