After years of steady hikes, Georgia Power customers finally got some breathing room this week. The state’s utility regulator has signed off on a deal that freezes base electricity rates through 2028. That doesn’t mean bills won’t budge, though—and experts say households should still expect changes on their monthly statements next year.
The Georgia Public Service Commission unanimously approved the agreement on Tuesday, giving utility giant Georgia Power a green light to hold the line on base rates, even as inflation and energy volatility continue to stress Americans’ wallets.
A Rare Pause After a Steady Climb
This freeze comes after six separate rate hikes since 2021, a period that saw inflation drive up fuel costs and utilities pass the pain along to consumers.
So, what’s different now? Pressure. And politics.
“My fellow Commissioners and I urged staff and Georgia Power to come to some agreement where base rates would not increase,” said PSC Chair Jason Shaw. “This is nothing but good news for Georgia Power ratepayers.”
Base rates make up the largest chunk of most utility bills. Locking them in for three years offers rare certainty in a sector where prices seem to change with the wind—or a hurricane.
Literally.
Hurricane Helene Looms Over the Fine Print
While base rates won’t rise, the deal includes notable exceptions. The biggest? Hurricane Helene. The 2024 storm, Georgia Power’s costliest ever, slammed infrastructure across the state. Cleanup, rebuilding, and recovery don’t come cheap.
Under the terms of the agreement, Georgia Power will still be allowed to seek reimbursement for Helene-related expenses. That means customers could see line-item bill increases tied to the storm—even if the base rate holds firm.
There’s also fuel.
Fuel charges are reviewed separately from base rates, and next year’s scheduled fuel cost review could be a wild card. Prices for natural gas and coal—the backbone of Georgia’s energy mix—have fluctuated sharply over the last three years.
Georgia Power officials say there’s some hope: if fuel prices continue their current downward trend, those savings could offset any storm-related cost hikes.
A Deal Years in the Making
The new agreement wasn’t cooked up overnight. Georgia Power, the Public Service Commission’s staff, the Georgia Association of Manufacturers, and Utility Management Services all signed on.
That kind of alignment is rare.
Kim Greene, CEO of Georgia Power, called the outcome a win-win. “The rate freeze resulting from this plan is a great result for customers,” she said. “It balances the mutual benefits of extraordinary economic growth among all stakeholders and helps ensure we remain equipped to continue supporting growth in this state.”
For big industrial users like the Georgia Association of Manufacturers, holding base rates steady offers planning certainty as businesses navigate their own inflation challenges.
Smaller customers feel it too, albeit differently.
What Customers Can Expect on Their Bills
Just because base rates are frozen doesn’t mean your bill will look the same each month.
That’s where other charges come into play, and things start to feel a bit murky for the average consumer.
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Storm recovery from Hurricane Helene could lead to additional costs in 2025.
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Fuel price adjustments will be revisited next year, potentially increasing or decreasing total charges.
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Seasonal demand swings—especially during Georgia’s steamy summers—can push bills higher even if rates are flat.
There’s also the catch that many customers just don’t understand what “base rates” actually mean. Bills combine base rates, fuel costs, storm recovery fees, customer service charges, franchise fees, and taxes. For the average homeowner in Augusta or Macon, it’s just one big number at the end of the month.
Georgia Power’s Track Record with Rate Increases
To understand why the rate freeze matters, it helps to see where we’ve been. Since 2021, Georgia Power ratepayers have absorbed:
| Year | Increase Event | Approx. % Impact |
|---|---|---|
| 2021 | General rate hike | +4.5% |
| 2022 | Fuel cost adjustment | +11% |
| 2022 | Vogtle Unit 3 addition | +3.2% |
| 2023 | Another base rate hike | +4.5% |
| 2023 | Vogtle Unit 4 surcharge | +2.5% |
| 2024 | Fuel cost increase | +8% |
Over just three years, cumulative increases have pushed many residential bills up by more than 25%. That’s why this freeze, modest as it sounds, feels significant to folks watching every dollar.
Unspoken Tensions Behind the Agreement
PSC Chair Jason Shaw may call this “good news,” but some environmental and consumer groups see missed opportunities.
While the deal keeps rates stable, it doesn’t include much discussion about renewable energy, grid modernization, or energy efficiency programs. Nor does it address whether Georgia Power’s profits—long criticized as hefty—will be reined in.
Critics argue that the company is still being allowed to collect on costs without sufficient scrutiny.
“They’re freezing the part of the bill people understand, and leaving the rest of it wide open,” one Atlanta energy advocate said, requesting anonymity due to ongoing regulatory work.
Still, compared to more aggressive rate hikes seen in neighboring states like Alabama and Florida, Georgia’s freeze will likely be welcomed by most consumers. It’s a break, however brief.
Looking Ahead: What’s Next for Georgia Power?
Georgia Power is expected to return to the commission next year with new filings tied to fuel cost recovery. The full impact of Hurricane Helene recovery may not hit bills until the end of 2025 or early 2026.
And then, of course, there’s Plant Vogtle.
The troubled nuclear project is now fully online after years of delays and billions in overruns. While the PSC approved a cost-sharing formula for its completion, the long-term price tag for customers remains in question.
For now, though, the rate freeze stands.
And in a year that’s already seen Georgia rank near the top of national heatwave charts, maybe stable electricity bills feel like a small mercy.
