(AL.com) — Starting this month, Alabama Power customers will see slightly lower bills as the result of federal tax cuts. The typical monthly bill will be reduced by about $9 starting in July and through the end of the year, the company said.
"We are pleased to begin providing these savings to our customers," Richard Hutto, vice president of Regulatory Affairs for Alabama Power, told the company's news site.
Signed into law in December 2017, the Tax Cuts and Jobs Act reduced the federal corporate income tax rate from 35 percent to 21 percent, effective Jan. 1. Those savings are now being passed on to the utility's 1.4 million customers.
The reduction to all customer bills through 2018 will be $257 million, followed by $50 million in 2019.