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Protecting South Carolina Consumers: How AARP Helped Reduce Dominion Energy’s Rate Increase

South Carolina customers of Dominion Energy South Carolina will still see higher electric bills, but the increase will be smaller than the utility first requested.

Jo Pauling-Jones,

AARP South Carolina

Published July 08, 2026

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AARP participated in the Public Service Commission of South Carolina rate case to help make sure residential customers had a voice. The case, Docket No. 2025-325-E, began after Dominion filed notice in December 2025 and submitted its rate increase application in January 2026. AARP later intervened in the case and participated in settlement negotiations with Dominion, state agencies and other parties.

On June 11, the commission voted to approve the settlement. The commission also said a full written order would be issued. The settlement does not eliminate the rate increase. But it reduces the proposed increase, limits the impact on residential customers, provides bill credits and customer assistance, and requires better reporting on customers who are having trouble paying their bills.

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A Smaller Increase Than Dominion Requested

Dominion originally sought a revenue increase of about $334 million and a 10.5 percent return on equity. Return on equity is one factor regulators use to determine how much a utility may collect from customers to provide investors a return.

Under the settlement, the revenue increase is reduced to about $219.3 million. That is about $114.7 million less than Dominion requested. The approved return on equity is reduced to 9.99 percent. For a typical residential customer using 1,000 kilowatt-hours of electricity a month, Dominion’s original request would have meant an increase of about $19.98 per month, or 12.73 percent. Under the settlement, that increase is reduced to about $11.97 per month, or 7.62 percent, before a one-time residential bill credit.

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Lower Monthly Customer Charge

The settlement also reduces Dominion’s proposed increase to the fixed monthly customer charge. Dominion proposed raising the residential customer charge for Rate 8 customers from $9.50 to $13. Under the settlement, that charge is set at $11. Fixed monthly charges matter because customers pay them regardless of how much electricity they use.

Limiting the Residential Share

AARP also focused on how much of the overall increase would be assigned to residential customers. Under the settlement, 51 percent of the base rate revenue increase is allocated to residential customers. That matters because the allocation helps determine how much of the overall increase is paid by households, rather than by other customer classes.

Customer Assistance and Weatherization Support

The settlement includes a $3 million bill credit for residential electric customers. Those credits will be applied in 2026. Dominion also agreed to provide $1 million each year for three years in shareholder funds to EnergyShare for use by the South Carolina Office of Economic Opportunity. Half of those funds will help eligible households served by Dominion. The other half will support weatherization measures, such as insulation, air sealing and duct sealing, for customers with low income.

Weatherization can help make homes more energy efficient. That can be especially important for people living on fixed incomes, including many people 50-plus, because lower energy use can help reduce monthly costs over time.

Better Reporting on Customers Struggling With Bills

The settlement also requires Dominion to provide more information about residential customers who are falling behind. Dominion must file quarterly reports with the commission and the South Carolina Office of Regulatory Staff on disconnections, late payments, payment arrangements, and the number and dollar amount of past-due balances at 30, 60 and 90 days.

This reporting can help regulators and consumer advocates better understand where customers are struggling and whether more support may be needed.

Why This Matters

Electric bills are a major part of household budgets. For people living on fixed incomes, even a smaller increase can be difficult to absorb. AARP’s work in this case helped keep the focus on residential customers, including people 50-plus and their families. As part of the settlement, AARP helped support a result that reduced the proposed increase, lowered the monthly impact for typical residential customers, included direct customer benefits and improved transparency around affordability challenges.

AARP will continue to fight for fair and reasonable utility rates and for customer protections that help South Carolinians manage essential costs.

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