FRANKFORT, Ky. (AP) - A state agency has approved an 8.8 percent utility rate increase for the average residential customer of the Kentucky Utilities Company, effective immediately.
Multiple media outlets report that the Kentucky Public Service Commission approved the rate hike on Tuesday.
The average residential customer will pay $112.85 a month for electricity, or $9.17 more than the previous rate of $103.68.
Overall, Kentucky Utilities is expected to collect an additional $125 million in annual revenue. The utility company had requested an increase of $155 million per year, about 2.7 percent more than the commission approved.
The rate increase will help pay for a variety of investments by the utilities company, including a $563 million gas-fired electric power plant in western Jefferson County that is replacing a coal-fired plant.