Governor Kay Ivey on Thursday afternoon signed House Bill 475 into law, a measure aimed at freezing electric rates and expanding representation on the Alabama Public Service Commission.
The legislation places a temporary hold on electric rate increases and restructures parts of the PSC to broaden its representation. Lawmakers have said affordability and cost-of-living stability remain key priorities for Alabama residents.
In a statement after signing the bill, Ivey said the measure is part of a broader effort to maintain Alabama’s economic competitiveness and affordability.
“The Alabama Legislature passed HB475 to put a freeze on electric rates and to give the people of Alabama broader representation on the Public Service Commission,” Ivey said. “I have signed the bill and will look forward to building on my record of strong appointments to the PSC. Alabama is a top 10 state when it comes to cost of living, and we are the number one state for plain affordability. As I have said before, for Alabama to remain the best state to live, work and raise a family, we have to grow the state, while keeping our cost of living low.”
Supporters said the rate freeze will provide immediate relief to consumers facing rising costs, while the changes to PSC representation could bring a wider range of perspectives to utility regulation decisions. The Public Service Commission oversees electric, gas and telecommunications utilities across the state, making its composition and authority central to long-term energy policy and pricing.
The legislation also addresses the appointment of a secretary of energy, though the position will not be filled until the next administration, leaving that decision to Ivey’s successor.
Supporters have emphasized consumer protection and affordability, though questions remain about how the rate freeze could affect utility providers and long-term infrastructure investment, as well as how expanded PSC representation will work in practice.
HB475 is the latest step in Ivey’s ongoing focus on Alabama’s relatively low cost of living, which she has repeatedly highlighted as both an economic advantage and a policy priority.
