AVERAGE KY POWER RESIDENTIAL BILL DROPS MORE THAN $14 IN ONE YEAR

September 13, 2018

ASHLAND, Ky., September 13, 2018 – Decisions by the Kentucky Public Service Commission combined with federal tax cuts are reducing bills for the average Kentucky Power residential customer.

“Our residential rates have stabilized and overall bills are down for the average customer,” said Matt Satterwhite, Kentucky Power president and chief operating officer. “If customers are still seeing higher bills, it is due to an increase in their overall usage. We have experienced extreme temperatures recently that may have resulted in increased usage from running air conditioners to keep cool. For customers who are seeing higher usage, we recommend customers check their insulation, windows, caulking, and thermostats to reduce energy use in their home.  These items under your control can significantly affect how much electricity you use.”

When compared to bills in September 2017, September 2018 bills for customers using the average 1,300 kilowatts of electricity a month dropped $14.34. Much of the reduction is the result of Public Service Commission orders. Those decisions included a rate adjustment, implementation of the federal tax cuts, and the elimination of most energy efficiency programs. The savings are being passed onto customers. 

“This overall decrease is good news for our customers,” Satterwhite said. “We are working hard to partner with our communities everyday as we provide safe and reliable electric service while also controlling costs, providing exceptional customer service, and leading economic development efforts in the region.”

The Environmental Surcharge, the Fuel Adjustment Clause, the Kentucky Economic Development Surcharge, Purchased Power Adjustment, and the Capacity Charge are all lower over September 2017 bills.  In addition, the Commission adjusted the Energy Usage fee, customer Service Charge, the System Sales Clause, the Decommissioning Rider, and the Home Energy Assistance Program.  While listed separately on bills, collectively these charges make up the core of the bill for electric service.  The net result of all the changes lowered the average residential customer bill by $14.34.       

As the winter heating season approaches customers are encouraged to look at weatherizing their homes. Caulking around windows and doors and installing insulation now can reduce usage before winter.  Qualifying Kentucky Power customers also may get help with insulation and other weatherization measures through Kentucky Power’s Targeted Energy Efficiency program. This program is administered through regional area action agencies. Kentucky Power also is looking to offer other assistance to low-income customers in need and will be filing that request with the Commission soon. 

Customers also can consider signing up for the budget billing option called Average Monthly Payment (AMP). AMP is 12-month average bill to even out winter heating and summer cooling bill spikes. Customers can sign up for AMP by visiting kentuckypower.com and logging into their account or by calling customer service at 800-572-1113.

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Kentucky Power, with headquarters in Ashland, provides electric service to about 168,000 customers in 20 eastern Kentucky counties, including Boyd, Breathitt, Carter, Clay, Elliott, Floyd, Greenup, Johnson, Knott, Lawrence, Leslie, Letcher, Lewis, Magoffin, Martin, Morgan, Owsley, Perry, Pike and Rowan. Kentucky Power is an operating company in the American Electric Power system, one of the largest electric utilities in the U.S., delivering electricity and custom energy solutions to 5.4 million regulated customers in 11 states.