PSO To Continue Plans To Build New Wind, Solar Farms

The Oklahoma Attorney General’s Office announced a settlement agreement that will allow AEP-PSO to continue plans to build new solar and wind generation plants.

The plans, pending before the Corporation Commission, raised questions about the ultimate cost for consumers, and whether future expansion of generation should be limited to renewables or include all fuel sources.

PSO Spokesman Wayne Greene said the new facilities would be built in Kansas and Texas, and feed power into the grid that supplies power for Tulsa and other PSO service areas in Oklahoma.

An increasing share of Oklahoma's power generation comes from solar and wind, and PSO plans to increase their reliance on renewables, while maintaining gas plants in their mix of company owned sources.

Greene said the new plants would help economic development, because many new industries require power that includes some renewable energy sources.

The Attorney General’s office said the agreement limited unexpected cost increases for consumers, capping the cost of the expansion at $2.47 billion, and requiring PSO to evaluate gas storage options that could prevent a surge in energy prices.

Greene said customer bills would rise next year by a few dollars a month, before decreasing in 2026.

“The savings will more than compensate for that (increase),” said Greene. “We immediately start getting savings on the costs of fuel and second there's some very generous federal subsidies and all those go directly back to our customers, just right away.”

The plan, which requires approval by the Corporation Commission, would double the renewable energy generation capacity that’s owned by PSO, according to Greene. The AG’s office said it would add 995 megawatts of capacity.