PUCO Approves AEP Ohio Rate Settlement and a More Transparent Bill Format

GAHANNA, Ohio - The Public Utilities Commission of Ohio (PUCO) today approved two cases that update distribution rates and provide a new, easier-to-understand bill format.

• The PUCO approved a settlement in AEP Ohio's 2025 base distribution case. The settlement enables strategic investments in programs like enhanced tree trimming, protecting equipment to reduce outages and replacing aging infrastructure - work that improves the reliability of the distribution system.
• The PUCO also approved a redesigned monthly bill that clearly identifies generation, transmission and distribution charges so customers can better understand what drives their costs, allowing them to make better informed decisions about their energy use.

AEP Ohio understands customers expect reliable service at a reasonable price, and this order supports both. The PUCO also approved new three-year caps for programs that support AEP Ohio's ongoing efforts to make equipment upgrades and trim trees that lead to enhanced service reliability. As AEP Ohio invests in maintaining and strengthening the reliability of the local electric grid, the investments are recovered through customer bills following a review by the PUCO.

Bill impacts will be calculated following a careful review of the PUCO's order. Rate changes will be effective for most customers on their next bill.

Electric bills include charges for distribution, transmission and generation. Under state law, AEP Ohio is a distribution-only utility. AEP Ohio delivers electricity to homes and businesses but does not generate power and does not profit from generation that is purchased on behalf of customers.

AEP Ohio remains focused on keeping the local distribution part of your bill as low as possible while continuing to deliver safe and reliable service.

The second important ruling by the PUCO today approved a new format for AEP Ohio's customer bills.

Customers have told us that electric bills can be hard to follow. The redesigned bill will make it easier to see who supplies your generation and how much of the total bill comes from generation, transmission and distribution. Customers will begin receiving the new bill format this fall.

The new bill format highlights the three main components of an AEP Ohio bill:

• Distribution (about 31%): This includes investments in the local poles, wires, substations and equipment that delivers electricity to homes and businesses in your community. These charges are regulated by the PUCO.
• Transmission (about 21%): Transmission lines are the high-voltage lines that move electricity long distances from generation sources to local substations. These charges are regulated by the Federal Energy Regulatory Commission (FERC).
• Generation (about 48%): Under state law, AEP Ohio cannot generate electricity, and customers can choose a third-party supplier. If they do not, AEP Ohio competitively procures electricity for them in the market with oversight by the PUCO. Whether generation is provided by a third party, or AEP Ohio buys it in the market, AEP Ohio does not earn any profit on this portion of the bill as these charges are a straight pass through, dollar-for-dollar, to the customer.

AEP Ohio offers multiple programs that can help customers pay their bills. Learn more at AEPOhio.com/Assistance or call 800-672-2231 to speak with a customer care representative.

For ways to use less energy and manage costs, visit AEPOhio.com/Savings, where customers can complete a Home Energy Profile to get customized tips to reduce electricity usage.

AEP Ohio customer care representatives are available 24/7 to answer questions at 800-672-2231.

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