Office of the Ohio Consumers' Counsel

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Approval of green power program will give American Electric Power customers a new choice

COLUMBUS, Ohio – May 2, 2007 – Today the Public Utilities Commission of Ohio (PUCO) approved an agreement between the Office of the Ohio Consumers’ Counsel (OCC), American Electric Power (AEP), the PUCO staff and other parties that will give customers the chance to promote the use of electricity from renewable resources.

The OCC was pleased with the PUCO’s approval of the new Green Pricing Option, which will allow AEP customers the ability to pay a small premium and purchase a minimum of 200 kilowatt hours (kWh) of renewable energy credits each month.

“Customers will now be able to promote the benefits of renewable power each month as part of this voluntary program,” said Janine Migden-Ostrander, Consumers’ Counsel. “With the need to ensure that the market for wind, solar and other forms of green energy is sustained, consumers will have an easy method to support this effort and make a difference.”

Based on the prices of similar green pricing programs, the purchase of 200 kWh of credits could cost customers about $5 per month. Consumers can choose to purchase a greater amount of renewable energy credits as well. The typical residential customer uses 850 kWh of electricity per month but can choose to buy as little as 200 kWh of credits.

The credits will be obtained by AEP through a regional bidding process. Renewable energy credits are bought and sold by many utilities and other power producers and reflect renewable power being generated throughout the country. The existing credit system supports the development of new renewable facilities.

The Green Pricing Option was proposed in March and resolves a PUCO case related to the OCC’s appeal of an AEP rate plan to the Supreme Court of Ohio. The Court returned the plan to the PUCO for revisions. A major issue in the case involves the lack of any option for electric customers beyond the utility’s standard service offer.

Customers will be provided information through their AEP electric bills about the Green Pricing Option.

The OCC supports maintaining a portfolio of diverse renewable products which helps advance the competitive market for electricity from these sources. A more developed market would likely lower the price of renewable energy in the future.

About the Office of the Ohio Consumers' Counsel

The Office of the Ohio Consumers' Counsel (OCC), the residential utility consumer advocate, represents the interests of 4.5 million households in proceedings before state and federal regulators and in the courts. The state agency also educates consumers about electric, natural gas, telephone and water issues and resolves complaints from individuals. To receive utility information, brochures, schedule a presentation or file a utility complaint, residential consumers may call 1-877-PICKOCC (1-877-742-5622) toll free in Ohio or visit the OCC website at www.pickocc.org.