‘We need to offer assistance’ Louisville, Lexington to fight KU’s rate hike
The cities of Lexington and Louisville are joining forces to fight a proposed rate hike from Kentucky Utilities and Louisville Gas and Electric.
KU recently filed a rate increase with the state Public Service Commission that would increase rates by 10.7 percent for most Lexington households.
LG&E, which serves Louisville and surrounding counties, has proposed a similar increase of 11.8 percent for monthly electric bills and a 9.4 percent increase for monthly gas rates for average customers.
This is the fourth time since 2014 KU has sought a rate increase, Lexington city officials said.
“There’s no good time to ask for a rate hike, but it’s hard to imagine a worse time than in the middle of a pandemic,” said Lexington Mayor Linda Gorton. “People are scrambling to pay their bills and to hold on to their apartments and homes. We need to offer assistance, not increase their burden.”
Louisville Mayor Greg Fischer agreed.
“This request comes at a time when so many families in our cities — and cities across the state — are dealing with the negative financial impact of COVID-19. It’s important that Louisville and Lexington have a seat at the table in this discussion so we can better understand the utility’s needs while also advocating for our municipal interests and our residents, especially those with low or fixed incomes.”
The rate hike request is pending before the Public Service Commission, which has the ultimate say on rate increases. The two cities filed the request to intervene in the rate case Monday morning. The commission will decide if it will grant the cities’ request.
In 2014, the average monthly residential bill in Lexington was $105. If KU’s full rate increase is granted, the average monthly bill will climb to $133, a 27 percent increase, Lexington city officials said.
This story was originally published December 14, 2020 at 12:26 PM.
