Public Service Commissioner Mike Francis has announced that CLECO customers will be receiving a monthly credit on their utility bills starting in August.
The credit will appear on each month’s statement from August 2019 through July of 2020, according to Francis.
Beginning August 1, the average Cleco customer will see a bill credit of approximately $14 a month for the next 12 months.
The benefit stems from the Tax Cuts and Jobs Act (TCJA) which reduces the company’s corporate tax rate and is being passed along to customers.
“Cleco has been accruing the TCJA savings and preparing to refund our customers,” said Shane Hilton, president of Cleco Power. “Last month, our plan to credit customers over $84 million gained approval from the Louisiana Public Service Commission.”
TCJA decreases the corporate tax rate from 35 percent to 21 percent, reducing the amount of federal income tax Cleco is required to pay. Cleco provided the Louisiana Public Service Commission (LPSC) with a plan as to how these tax-related benefits could be flowed through to the company’s Louisiana customers.
“A ‘TCJA Bill Credit’ line item will appear on customer bills beginning August 2019 through July 2020,” said Hilton. “We thank the LPSC for their guidance and support to bring this benefit to our customers.”