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Utility's Residential Price To Compare Rising Nearly 10% Outside Of Typical Major Adjustment Dates
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The electricity residential RS price to compare at AEP Ohio is set to increase nearly 10% on January 1, 2026 due to a customary change in the auction cost reconciliation rider
Typically, the change in the auction reconciliation rider, which is adjusted four times per year (with only one of such changes potentially aligning with a change in the base energy rate, and only if the SSO auction produced seasonal energy rates), does not produce such significant impacts on the price to compare. Recent swings have been about 5 mills per kWh, or 5%
However, for January 2026, the Auction Cost Reconciliation Rider would swing by nearly 1 cent per kWh, from a credit of (0.57597)¢/kWh to a charge of 0.27589¢/kWh
For RS residential customers, and barring any change to other bypassable components (such as the Alternative Energy Rider), this Auction Cost Reconciliation Rider change would lead to an 8.7% increase in the price to compare, with a new PTC of about 10.65 cents per kWh, versus the current PTC of about 9.8 cents per kWh
Typically, major changes in AEP Ohio's price to compare occur on June 1 annually based on new retail energy and retail capacity rates, or, if the SSO auction produced seasonally differentiated energy and capacity rates, twice annually on June 1 and on October 1 (the currently effective energy and capacity rates do not vary by season)
The update to the Auction Cost Reconciliation Rider, from a credit of (0.57597)¢/kWh to a charge of 0.27589¢/kWh, is applicable to all rate classes taking SSO
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December 19, 2025
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Copyright 2025 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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