Jun. 20—ASHLAND — Kentucky Power announced it will be filing a rate change with the public service commission on June 29.
According to Kentucky Power, the new rates would most likely take effect in early 2024.
Per a press release issued Monday, Kentucky Power is expected to raise its proposed revenue by 13.6%, due to a move to securitize improvements to the Big Sandy plant and to address storm damage.
This year, the Kentucky legislature unanimously passed a bill to allow investor-owned power companies to refinance bonds on an asset costing more than $200 million or a total of assets adding up to $275 million.
According to the bill, those costs have to be totaled up by June 30, 2023, and applications for it can only be accepted up to Dec. 31, 2024.
Per the press release, the securitization will allow the recovery of the cost through "a longer period and at a lower financing rate."
That securitization will either fully or partially be funded through the bills paid by customers.
According to Kentucky Power, "the rate review proposal includes multiple customer benefits":
—Introduction of an optional seasonal tariff to address high usage during winter months.
—Expansion of tree clearing program.
—Increased funding for energy assistance programs.
—Extension of bill due dates from 15 to 21 days.
(606) 326-2653 — henry@dailyindependent.com