The Kentucky Public Service Commission (PSC) has approved a settlement that allows Kenergy Corp. to adjust its base rates in order to increase annual revenue by about $1.8 million, or approximately 0.4 percent.
In an order issued today, the PSC approved the settlement reached by Kenergy with the Kentucky Industrial Utility Customers, Inc. (KIUC). Kenergy had requested an increase of about $2 million.
The settlement does not affect rate adjustments Kenergy will make to pass through an increase in the wholesale cost of the electricity it purchases from Big Rivers Electric Corp. The Big Rivers rate increase was approved today by the PSC in a separate proceeding, and the pass-through rates were approved concurrently with the base rate settlement.
Under the settlement, an average residential customer will see an increase of about $2.50 in the portion of their bill attributable to base rates, about 30 cents below Kenergy’s original request. Kenergy’s monthly customer charge will increase from $10.50 to $12, which is $1 less than the original request. The usage-based charge for energy delivery will increase by about $1 per month, which is about 70 cents more than Kenergy’s request.