The Kansas Corporation Commission has approved a settlement agreement in a rate case for Kansas Gas Service. The settlement will reduce the net revenue increase requested by KGS from $58.1 million to $35 million.
The settlement’s impact on residential bills, with average usage, is an increase of about $3.83 a month or $46.02 per year. The new rates will take effect on November 1st.
Kansas Gas Service filed a request in March for a rate increase. It withdrew its original proposal to have two different rate structures based on high or low usage. The proposal was opposed by KCC staff and the Citizens Utility Ratepayer Board. It would have resulted in an increase of about $6.71 a month for low usage customers and $9.48 a month for high usage.
KCC staff filed testimony saying that the settlement will strike the proper balance between the company’s ability to meet its financial obligations and the need to keep rates as low as possible for customers while still providing reliable service.
