Prescott suing SWEPCO

By Staff, 04/16/19 2:10 PM

PRESCOTT – Suit has been filed in federal court by the city of Prescott against the Southwest Electric Power Co. (SWEPCO).

According to Prescott Mayor Terry Oliver, the suit was filed on April 5, by Jim Julian and Mark Hodge with the Barr Law Firm of Little Rock so the city can get out from under the transmission charges costing $700,000 to $800,000 annually. Oliver said the city needs to get out of its contract with SWEPCO as it’s not getting good service from the electricity provider, adding it could take 18-24 months for this suit to be settled.

The problems began with MISO entered the picture around 2014 and the city was hit with pancake charges, or multiple transmission charges for electricity. “We’ve tried every option we could come up with,” Oliver said, “and the city can’t keep paying forever.” However, SWEPCO ignored all options and seeks to keep the contract active.

“They’re holding the city of Prescott hostage,” Oliver said.