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Upper Peninsula Power Company says customers will be seeing additional reductions on their monthly energy bills because of the Tax Cuts and Jobs Act.
A residential customer consuming 500 kilowatt hours per month will save $3.40 on their monthly energy bill.
Commercial, Industrial and Lighting customers will also see a reduction on their bills.
“Our customers will be saving $3.3 Million on their energy bills after applying the initial TCJA reduction,” said Brett French, Vice President of Business Development and Communications for the company. “When added to $11 Million in other cost-saving measures that UPPCO implemented at the beginning of the year, our customers are now spending $14 Million less for their energy on an annual basis.”
The law was passed at the end of 2017, effectively lowering corporate tax rates from 35 to 21 percent.
In March, UPPCO requested the Michigan Public Service Commission approve the company’s proposal to pass along those savings.
The Commission has now approved a $3.3 Million reduction, permitting the company to reduce the amount it charges its customers beginning this month.
The approval is the first of three that are planned by the state to address the full effect of the new tax law.
Two additional filings are planned by the company later this year.
