Ohio Consumers Council scrutinizes FirstEnergy's proposed $190 million rate hike amid bribery scandal

The Toledo Mobility, Sustainability & Beautification Committee held a joint meeting with the Finance, Debt & Budget Oversight Committee on December 11, 2024, to discuss proposed electric rate increases by FirstEnergy. A significant point of contention arose regarding a proposed $190 million increase, which some committee members linked to a recent bribery scandal involving FirstEnergy, where the company paid $60 million in bribes to legislators.

During the meeting, concerns were raised about public trust in FirstEnergy following the bribery incident. One committee member expressed strong disapproval, stating that the public likely feels uneasy about the need for such a large rate increase when FirstEnergy had recently reported $1 billion in profits. The member emphasized that the ratepayers should not be responsible for covering the costs associated with the company's past misconduct.

Public comments were invited, and a resident raised a question about the duration of the proposed rate increases. The response indicated that the base distribution rates would remain in effect until FirstEnergy files another rate case, although the timing of such filings is uncertain. The discussion also highlighted that FirstEnergy has previously sought increases through various proceedings, including electric security cases and grid modernization efforts.

The meeting underscored the ongoing scrutiny of FirstEnergy's practices and the implications of its financial decisions on local consumers. As the committee continues to advocate for transparency and consumer protection, the outcome of the proposed rate increases remains a critical issue for Toledo residents.