Energy is not a peripheral expense for industrial customers. For many manufacturers, it is among the top three costs of doing business, shaping everything from long-term capital planning to day-to-day production decisions. When rates rise unexpectedly or fluctuate sharply, it creates a ripple effect that jeopardizes competitiveness, complicates investment decisions, and ultimately threatens jobs.
The PSC’s decision delivers the opposite effect. By keeping rates stable for the next two years, Alabama is sending a clear signal that our state remains committed to supporting the businesses that power our economy – both literally and figuratively.
This rate freeze provides manufacturers with something they rarely get in today’s economy: room to plan. Predictable energy costs allow companies to budget responsibly and invest in modernization, expansion, and workforce growth. Manufacturers considering major projects whether automation upgrades, new production lines, or facility improvements can move forward with confidence that one of their most essential inputs won’t unexpectedly erode the financial foundation of those investments. In a competitive environment where states are fighting aggressively for new manufacturing jobs, Alabama is wisely reinforcing its position as a stable, business-friendly destination.
Importantly, the PSC’s action also ensures continued reliability which is another factor that matters deeply to industrial users. Alabama Power has long maintained a reputation for delivering dependable service, and this ruling helps guarantee that the company can continue making the necessary infrastructure investments to keep power flowing around the clock. Manufacturers run sophisticated, continuous-operation facilities that cannot afford unplanned outages or unpredictable voltage variations. Reliability and affordability must walk hand-in-hand, and this ruling reflects that balanced approach.
When manufacturers thrive, Alabama thrives. The industrial sector supports nearly 300,000 jobs in our state and anchors many local economies. The ripple effect of manufacturing payrolls extends to small businesses, schools, healthcare facilities, and public services. Ensuring that energy costs remain stable strengthens this economic engine and protects the communities that depend on it. The PSC’s decision reflects a thoughtful approach that recognizes the real-world implications of rate volatility on businesses that build, innovate, and employ at scale.
The PSC’s decision is more than a regulatory action. It is a strategic investment in Alabama’s economic future. It demonstrates an understanding of what manufacturers need to continue creating opportunity, and it reinforces Alabama’s commitment to maintaining a competitive edge. Manufacture Alabama applauds the Commission and Alabama Power for its leadership. By prioritizing stability, reliability, and long-term economic growth, the PSC has taken a meaningful step to strengthen our state’s manufacturing sector and with it, the prosperity of Alabama communities for years to come.
