Company: SOJE
Filing Date: 2025-07-01
Form Type: 8-K
Source: 0000092122-25-000066
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Company: SOUTHERN CO
Filing Date: 2025-07-01
Form: 8-K
Item: Item 8.01
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Item 8.01 Other Events.

On July 1, 2025, the Georgia Public Service Commission (“ PSC”) voted to approve the settlement agreement, among Georgia Power Company (“ Georgia Power”) and the Georgia PSC Public Interest Advocacy Staff, which was filed with the Georgia PSC on May 19, 2025 and subsequently signed by Georgia Association of Manufacturers and Utility Management Services (the “ Settlement Agreement”). The Settlement Agreement extends the existing alternate rate plan previously approved by the Georgia PSC, which set retail base rates for the years 2023 through 2025 (the “2022 ARP”), for an additional three-year term through December 31, 2028 (the “ ARP Extension”).

Under the ARP Extension, base rates will not be adjusted in 2026, 2027 or 2028 (the “ ARP Extension Period”) except for reasonable and prudent storm damage costs incurred through December 31, 2025, which will be determined in a separate regulatory proceeding. Further, under the ARP Extension, Georgia Power’s retail return on common equity (“ ROE”) set point will continue at 10.50% and its equity ratio will continue at 56%. Additionally, the retail ROE range approved by the Georgia PSC in the 2022 ARP, of 9.50% to 11.90%, will continue. The ARP Extension includes, among other things, the following modifications to the 2022 ARP:

1. Storm damage costs will be included in a separate regulatory proceeding to be filed no sooner than February 1, 2026 and no later than July 1, 2026 to recover the actual reasonable and prudent storm costs incurred through December 31, 2025. Subject to Georgia PSC approval, new rates will be effective approximately 90 days after the filing is made. The Georgia PSC will determine the period over which any such storm damage costs will be recovered.

2. Amortization of regulatory assets and liabilities in the 2022 ARP, which were subsequently included in current rates through annual compliance filings, will continue through the ARP Extension Period. This includes those regulatory asset and liability balances that were projected to be fully amortized through 2025 or during the ARP Extension Period.

3. The amounts previously deferred during the 2022 ARP for Investment Tax Credits (“ ITCs”) and Production Tax Credits (“ PTCs”) will be amortized through the ARP Extension Period. The acceleration of amortization during the ARP Extension Period is subject to the