COLUMBUS) - State regulators have ordered a major reduction in electric rates for customers served by Toledo Edison.
The Public Utilities Commission of Ohio directed the utility to lower its annual revenue by $29.5 million. New rates must be filed by February 24 and will take effect March 1.
The decision replaces an earlier order that called for a smaller reduction and also spreads $245 million in storm restoration costs over 25 years instead of five. Regulators say the move should soften the immediate impact on customer bills while the expenses undergo further review.
Ohio Consumers' Counsel Director Maureen Willis called the reduction important short-term relief but warned the extended repayment period could increase long-term costs for ratepayers.
Toledo Edison's parent company, FirstEnergy, had previously sought a significant rate increase across several Ohio utilities. Regulators rejected that request and imposed new limits on how the company can recover costs.
Officials say continued oversight will be necessary to ensure households are protected as the changes take effect.