The Ohio Public Utilities Commission on Feb. 20 approved rate reductions for Duke Energy’s electric customers to account for the federal tax law, which slashed the corporate income tax rate to 21 percent from 35 percent, effective Jan. 1, 2018. Customers will see a $2.13 decrease in their monthly bills.
- The company will refund $8.1 million over a 12-month period to account for the amount it has over collected, plus interest, since last January.
- About $4.7 million will be returned to customers annually, reflecting the tax savings that are not currently accounted for in rates.
- The utility’s normalized accumulated deferred income tax, estimated at $149.4million will be passed on to customers over a 25-year time period, while the non-normalized excess deferred income tax of $74.9 million will be credited over 10 years.