AKRON, Ohio, April 24, 2026, 07:08 (EDT)
- FirstEnergy’s Ohio utilities are aiming to submit their inaugural three-year rate plan by May 22, following the new PUCO process.
- If approved, the proposal bumps up monthly bills for a typical 1,000-kWh residential customer by roughly $4.26 to $5.30 each year.
- The plan comes in the wake of PUCO’s storm-cost adjustments, following months of FirstEnergy-linked refunds and penalties.
Three Ohio electric utilities under FirstEnergy Corp are gearing up to file a three-year distribution rate proposal with state regulators by May 22, potentially lifting average residential bills by roughly $4 to $5 a month annually. The move puts Ohio’s new ratemaking law into practice for customers across the company’s service areas.
Why it matters now: this filing lands among the initial big tests for Ohio’s fresh forward-looking rate setup—letting utilities price out upcoming grid investments instead of just chasing reimbursement for work that’s finished. Distribution charges here cover the local infrastructure: poles, wires, meters, everything that keeps the system running, but not the actual electricity, which customers get through either utility deals or third-party suppliers.
This latest move lands as households are still working through March bill adjustments related to past storm-restoration charges. According to a report referencing FirstEnergy spokesperson Jennifer Young, customers using 1,000 kilowatt-hours a month felt the effects from March 1: Illuminating Co. bills climbed $9.67, Ohio Edison’s ticked up 87 cents, and Toledo Edison customers actually saw bills fall by $5.05.
FirstEnergy is proposing its “Three-Year Rate Plan” — or TYRP — to include The Illuminating Company, Ohio Edison, and Toledo Edison. The company is targeting roughly $800 million annually for upgrades to poles, wires, equipment, and technology. Tree trimming, which FirstEnergy points to as the leading cause of outages in Ohio, would get another $83 million each year under the plan. PR Newswire
On power bills, charges are measured in kilowatt-hours, with FirstEnergy basing its sample bills on 1,000 kWh per month—a standard reference point, though real usage varies from home to home. The company said customers sticking with their default “non-shopping” supply, rather than picking a separate retail provider, would see different average annual hikes: Ohio Edison at 2.2% ($4.26 a month), The Illuminating Company at 2.6% ($5.15), and for Toledo Edison, a 2.8% increase, or $5.30 per month. PR Newswire
“Our TYRP is about careful and balanced planning,” said Torrence Hinton, president of FirstEnergy Ohio, in the company statement. He emphasized the plan’s focus on projects that “make the biggest difference” and the need to “keep costs in check.” That message lands directly with regulators and customers, both groups still digesting a string of FirstEnergy bill orders just weeks apart. PR Newswire
Back in February, the Public Utilities Commission of Ohio directed Cleveland Electric Illuminating, Ohio Edison, and Toledo Edison to extend repayment of roughly $245 million in deferred storm-restoration costs across 25 years—not just five—pointing to affordability issues. The move, according to PUCO, trims yearly revenue for the three utilities by about $39.4 million compared with what was approved in November 2025.
Regulators have plenty to sift through right now. Last November, AES Ohio—a subsidiary of AES Corp—put forward a three-year rate plan with PUCO, proposing new distribution rates covering 2027 through 2029. Duke Energy Ohio, for its part, has told PUCO it plans to request an electric distribution-rate hike as well.
But there’s no guarantee of approval. The PUCO process brings in staff reviews, public hearings, a shot for customers to weigh in, plus yearly audits. The final numbers often don’t match what the utilities ask for. Even with a green light on the distribution plan, supply charges—the cost of the actual energy—are handled on a different track. That could either soften or amplify the total effect on bills.
The new request comes as FirstEnergy is still dealing with a rocky track record in Ohio. Just last November, the PUCO hit FirstEnergy’s Ohio utilities with $250.7 million in penalties and refunds over previous grid-modernization charge violations. PUCO Chair Jenifer French called it a “cautionary lesson” for utility oversight. Reuters
Back in January, FirstEnergy said the PUCO had given the green light to a separate settlement totaling $275 million in restitution and refunds for customers of Ohio Edison, Illuminating Company and Toledo Edison. Of that, $250 million is set to be paid straight out to customers, with another $5 million tacked on as extra residential credits. There’s also $20 million earmarked for low-income bill assistance, weatherization work, and energy-efficiency efforts.
The company’s first-quarter numbers land after the bell on April 28. FirstEnergy management will follow up with a 9 a.m. EDT call the next morning. Eyes will be on the Ohio rate plan ahead of the May 22 filing—regulators are watching that one closely.
