AEP-PSO submits bill for storm damage


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AEP-PSO is attempting to recover $27 million the utility spent repairing damage caused by last winter's ice storm, according to an application filed with the Oklahoma Corporation Commission.

However, the utility said it will try to avoid any impact to ratepayers.

American Electric Power-Public Service Company of Oklahoma plans to sell federal credits it acquired by maintaining low emissions at its power plants. It will then sell those "SO2" credits to other power plants.

Stan Whiteford, an AEP-PSO spokesman, said that the company will apply proceeds from the sale of those credits to pay for about half of the costs associated with the damage, pending regulatory approval.

"We are fortunate to come in under those emission levels, which allows us to bank these allowances," he said.

The remainder of the costs associated with the ice storm will be included in AEP-PSO's next rate case before the OCC, the state agency that regulates utilities.

In January, a winter storm struck the AEP-PSO service area, cutting power to more than 80,000 customers. The storm also destroyed hundreds of utility poles and downed trees and power lines.

"This was an extraordinary storm," said Dan Sweeney, senior regulatory consultant for AEP-PSO.

AEP-PSO is the state's second largest electricity provider, serving about 520,000 customers. More than half of its ratepayers are in the Tulsa area.

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