Oklahoma City, July 3, 2012 — Oklahoma Gas and Electric accepted a settlement in its nearly year-long Oklahoma rate case.
Terms of the settlement include a nearly $4 million increase in the amount OG&E receives from base rates, a 10.2 percent return on equity, extension of funding for the company's system hardening program, which is designed to improve reliability, and establishment of a procedure to expedite the recovery of the costs of high-voltage transmission projects.
OG&E residential customers will see a small reduction in their monthly bills resulting from the settlement. New rates would go into effect following Oklahoma Corporation Commission approval of the agreement.
The three-member Commission is expected to deliberate on the settlement in early July.
OG&E's parent company, OGE Energy Corp., reiterated its 2012 consolidated earnings guidance of $3.40 to $3.60 per average diluted share assuming normal weather for the remainder of the year.
OG&E, with 792,000 customers in a service area spanning 30,000 square miles in Oklahoma and Arkansas, is a unit of OGE Energy.