The Kentucky Senate has unanimously approved a measure to investigate the affordability of utilities for low-income residents.
\Senate Joint Resolution 75 would direct the Kentucky Public Service Commission to examine the impact of electric, water and sewer costs on low-income and fixed-income residents.
The Senate approved the measure late last week in a unanimous floor vote. However, it was approved with an amendment that removes natural gas utilities from scrutiny.
Much of the public pushback on utility costs has come from electricity customers who are struggling with rising rates.
The Kentucky PSC has approved rate increases for Louisville Gas & Electric and Kentucky Utilities in recent months. Another rate decision is pending for East Kentucky Power Cooperative.
The Senate resolution would require the PSC to issue a report by Sept. 1, 2027.
Last month, the PSC approved a modified settlement agreement.
The average residential electricity customer will see, starting in March, a nearly 6% increase, followed by a 1% increase next year.
That’s about half what the company originally sought. The average bill will increase less than $11 a month, compared with $27 as first filed last year.
Commissioners heard testimony from residents throughout eastern Kentucky who are struggling to pay their electric bills. Kentucky Power bills are the highest in the region, according to testimony.
The commission also last month approved a modified rate settlement with LG&E and KU.
Under the settlement, KU electricity customers will see an average increase of $9 a month. LG&E electricity customers will see their bills go up $5 a month.
It’s the first increase for the companies’ customers since 2020, and they have agreed not to file another rate case with the Kentucky commission until 2028.
The settlement cuts the original request filed last year in half. The increase offsets infrastructure upgrades and increased expenses including storm recovery.
LG&E and KU is a financial supporter of WEKU.
