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The Electricity Policy Division primarily oversees the regulation of investor-owned electric utilities in Alabama, while also monitoring and participating in federal policy issues affecting the electric industry. In addition, the Electricity Policy Division is responsible for all duties surrounding the Public Affairs function of the Commission. This division is organized into three sections, consisting of: 1) Electricity, 2) Federal Affairs and 3) Public Affairs.

The Electricity Section oversees the regulation of investor-owned electric utilities in Alabama. Only one electric utility, Alabama Power Company, falls under the Commission’s regulatory authority, as cooperatives and municipal systems are exempt from state regulation. Additionally, the PSC does not regulate wholesale power generators or the Tennessee Valley Authority (TVA).

In its oversight of Alabama Power Company, the Electricity Section is responsible for the ongoing review and analysis of the Rate Stabilization and Equalization ratemaking mechanism. As part of this process, the staff monitors the Company’s assets, liabilities, equity, revenues and expenses. The Electricity Section is also responsible for reviewing and analyzing various other issues concerning electricity rates and service. Upon completion of its review, the staff may prepare recommendations for the Commission’s consideration.