(Bloomberg) -- U.S. tax cuts are turning out to be a boon for Southern Co.’s electricity sales.
The Atlanta-based company -- which owns utilities in Georgia, Alabama and seven other states -- reported a 10 percent jump in first-quarter sales Wednesday. While colder weather was a key factor, Chief Executive Officer Tom Fanning also credited President Donald Trump’s tax overhaul with spurring demand for power from factories and other industrial customers. Fanning’s also confident the legislation, which limits deductions for state and local income taxes, will eventually fuel population growth in Southern’s service territory.
“One of the side benefits to us of tax reform will be a migration of people moving to a low-tax state and local environment,” he said in an interview, pointing out that Atlanta is already the third-fastest growing metropolitan area in the U.S.
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