AEP Ohio 2025 Base Case Proposed Settlement
Learn what a base rate case is, why it's needed and how it affects you.
On January 7, 2026, AEP Ohio filed a settlement at the Public Utilities Commission of Ohio (PUCO), to decrease electricity distribution rates for its customers. The settlement, which must be approved by the PUCO, would decrease distribution rates by $58.7 million overall. Distribution rates reflect the cost of delivering electricity to customers. These costs pay for the distribution system - poles, wires, substations and other equipment - along with the costs required to keep this system running.
AEP Ohio understands that affordable power is important. We work hard to invest efficiently and get the most benefit for customers out of every dollar we spend. AEP Ohio will keep customers, communities, business partners and others updated throughout the process.
Next Steps
AEP Ohio cares about our customers and their communities - we live in these communities, too. That's why we filed this settlement to help make electric bills more affordable. We are diligent about investing in the electric distribution system efficiently to ensure customers get the most benefit out of every dollar we spend.
All AEP Ohio rates must be approved by the PUCO before customers see any changes to their electric bills. The PUCO will conduct a hearing about the proposed settlement in the first quarter of 2026. The commission will then make a final decision in the case and rates will go into effect 14 days later.
If the PUCO approves the settlement, the average AEP Ohio residential customer using 1,000 kilowatt-hours (kWh) per month would see their electric distribution bill drop by $1.22 per month.
The complete case record can be found on the PUCO's website at 25-0392-EL-AIR.
How It Benefits You
It's all about keeping the power flowing to homes and businesses across our 61-county footprint while improving our service. Distribution rates allow us to:
- Replace equipment like poles, wires and transformers.
- Add protections to electrical equipment that protect against outages.
- Respond to growth, severe weather and other factors that put demands on the local electric grid.
Financial Assistance
AEP Ohio is focused on affordability for our customers. We also know that rising inflation and increased costs for many household essentials have put a strain on some customers.
AEP Ohio has several resources available for customers who are struggling to pay their bills. These include programs for low-income customers, guidance about government programs to assist with bills, payment arrangements and tools to manage energy usage. Customers can visit AEPOhio.com/Assistance for information and resources.
Factors That Can Impact Your Electric Bill
Weather
When temperatures are very hot or very cold, households often use more electricity running an air conditioner or heater.
Extra Billing Days
It's normal for the number of days in each billing cycle to change from month to month. More days per cycle will cause your bill to be higher. You can see the number of days in your billing cycle on the front page of your bill.
Rate Changes
The rates you pay for each kilowatt-hour of electricity you use may change several times each year. This is because AEP Ohio's rates go up and down based on how much it spends on certain types of costs, such as transmitting or distributing power to your location, tree trimming and storm restoration. All of AEP Ohio's rates are approved by the Public Utilities Commission of Ohio (PUCO) before they are charged to your bill.
Energy Supply Rates
AEP Ohio delivers energy to your home and maintains power lines and equipment. Customers who select another company to supply their power through our lines may have different rates. See page three of your bill to learn about choosing who generates your power and visit energychoice.ohio.gov for energy providers and their rates.