SEN. WHEELER RESOLUTION ON  UTILITY FUEL CHARGES PASSES SENATE

Commonwealth of Kentucky

Senate Majority Caucus

FRANKFORT, KY. (March 13, 2026)—A resolution sponsored by Sen. Phillip Wheeler, R-Pikeville, aimed at protecting Kentucky families from volatile utility fuel charges has passed the Kentucky Senate.

Senate Joint Resolution (SJR) 134 directs the Kentucky Public Service Commission to review how electric utilities recover fuel costs from customers through the fuel adjustment clause, commonly known as the FAC.

Electric utilities are allowed to pass fuel costs directly to customers through the FAC surcharge, which can cause sudden month-to-month fluctuations in electric bills. Wheeler said the resolution encourages regulators to examine ways to reduce those swings and improve stability for households.

“Families across Kentucky have seen their electric bills rise sharply, and many of those increases are tied to fuel costs that fluctuate from month to month,” Wheeler said. “This resolution asks the Public Service Commission to take a closer look at how those costs are passed along and whether adjustments can help bring more stability to ratepayers.”

Under SJR 134, the Public Service Commission must open an administrative review of the FAC regulation by May 15, 2026, and allow public comment from utilities and consumers. The commission is directed to consider possible changes aimed at reducing month-to-month volatility in the fuel adjustment surcharge.

The commission must finalize any updates to the regulation by Aug. 15, 2026, and submit a report to the General Assembly by Dec. 15, 2026 explaining the changes, summarizing stakeholder feedback, and outlining how the revisions may reduce volatility in electric bills.

Wheeler said the resolution is especially important for working families and seniors who often struggle to absorb unexpected spikes in utility costs.

“Utility bills are a necessity, not a luxury,” Wheeler said. “For many households living paycheck to paycheck, sudden increases can create serious financial strain. This resolution helps ensure the issue receives a thorough review so we can look for ways to make the system more predictable for Kentucky ratepayers.”

Because of the potential impact of rising energy costs, the resolution includes an emergency clause allowing it to take effect immediately once enacted.

SJR 134 now moves to the Kentucky House of Representatives for consideration.

Learn more about bills, committees, and other important updates on the 2026 Regular Session at www.kylegislature.gov.

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Sen. Phillip Wheeler, R-Pikeville, represents Kentucky’s 31st Senate District, including Elliott, Johnson, Lawrence, Martin, and Pike Counties. Wheeler serves as chair of the Senate Economic Development, Tourism, and Labor Committee and vice chair of the Senate Judiciary Committee. He is also co-chair of the Capital Planning Advisory Board. Additionally, Wheeler is a member of the Senate Committees on Transportation, Natural Resources and Energy, and Licensing and Occupations.