Public Service Company of Oklahoma’s (PSO) recovery of costs from the February 2021 Winter Storm Uri is back before the Oklahoma Supreme Court.
On Aug. 21, Rep. Tom Gann (R-Inola) filed an appeal asking the Court to invalidate approximately $700 million in bonds issued by PSO to cover storm-related expenses. His filing argues that the Oklahoma Corporation Commission (OCC) failed to conduct the independent audits required by law before approving the securitization of those costs.
Gann’s appeal seeks refunds to PSO customers, including: - A $130 million rate increase approved in November 2023.
- A $120 million rate increase approved in January 2025.
- Roughly $140 million already collected on bills through the “Winter Storm Cost Recovery Rider.”
The Supreme Court recently consolidated multiple challenges related to Winter Storm Uri costs, including cases involving PSO, Oklahoma Gas & Electric, and Oklahoma Natural Gas, under a single docket number. The consolidation allows the Court to review issues tied to the 2021 storm in one proceeding.
Gann’s filing also raises concerns about possible OCC ethics violations in the handling of the bond approvals. The Court has set a briefing schedule, with responses from PSO, the OCC, and the Attorney General’s Office expected in the coming weeks.
The February 2021 storm caused record-breaking energy demand and fuel costs, leading Oklahoma utilities to seek billions in financing through state-approved bonds. Customers have since been paying the costs back through monthly bill riders.
The case remains pending before the Oklahoma Supreme Court.
