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Arkansas Electric Rates

These tariffs are available only to customers of Southwestern Electric Power Company, which is registered to do business in Arkansas as American Electric Power. If you have questions about these tariffs, please contact AEP customer service at 1-888-216-3523.

Arkansas 2026 Formula Rate Review Filing

Every day, Arkansas families, businesses, schools and communities depend on reliable electric service. At SWEPCO, our responsibility is to provide that service while carefully managing costs and making prudent investments in the electric system customers rely on every day.

On August 4, 2026, SWEPCO filed its annual Formula Rate Review (FRR) application with the Arkansas Public Service Commission. If approved, the filing would increase the monthly bill of an average residential customer using 890 kWh by approximately $4.48 beginning the first billing cycle of February 2027.

Benefits For You

It's all about keeping the power flowing to homes and businesses across Arkansas and improving your service. The electric grid is the most complex and universally relied-on machine ever built. Technological innovation, security and resiliency are core components of this backbone that powers more than 130,610 homes and businesses in Arkansas.

FAQS

Base rates refer to the costs of building, maintaining and operating SWEPCO's electric system. These costs pay for the generation, transmission and distribution system - the power plants, substations, poles and wires you see in your community - along with all of the costs it takes to keep this system running. These costs also include reading meters, producing bills and customer service activities. Base rates do not include the fuel portion of your bill, which pays for fuel and purchased power and is a direct pass-through to customers.

Arkansas base rates were updated in February 2026 and can be found here

No. The fuel portion of a customer's bill is the cost of fuel used to generate electricity and the cost of purchased power. It is a direct pass-through to customers and is separate from base rates. The fuel factors used to calculate the fuel charge on a customer's bill are typically adjusted annually and are subject to review by the APSC.

The Energy Cost Recovery (ECR) rate is typically set annually in the spring based on a 12-month market forecast for SWEPCO's cost to purchase fuel to generate electricity. SWEPCO can request adjustments throughout the year if the cost of fuel is significantly higher or lower than the annual rate set for customers. This rate is located on your "fuel" line item.

The cost to purchase fuel is passed directly through to customers with no profit to the company.

As of April 1, 2022, SWEPCO's energy mix is 40% coal/lignite, 39% natural gas and 21% wind. SWEPCO's long-term strategy calls for more than one-third of its accredited capacity to be satisfied with wind and solar resources.

The cost to purchase fuel is a key driver impacting customers' bills based on normal usage. When these costs increase, it can also lead to an increase in customers' bills, as the cost is passed directly through to customers at no profit to the company.

Adding more renewable energy helps reduce our reliance on purchasing fuel to generate electricity. As we increase our generation mix to include more wind and solar energy, we can help offset the cost to purchase fuel and ultimately provide savings to our customers.

Arkansas 2025 Base Rate Case

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