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A-G Seeks Dismissal of LG&E Rate Case

by Kentucky Public Radio's Tony McVeighThe Kentucky Public Service Commission is being asked to dismiss a combined rate case for Louisville Gas and Electric and Kentucky Utilities, the state's two largest utilities.At the same time LG&E and KU are seeking $250-million in rate increases, the companies are being sold to Pennsylvania Power and Light. The merger must be approved by the Public Service Commission, which also must sign-off on the rate hikes.Attorney General Jack Conway says the rate cases and the sale of the utilities should not be allowed to proceed simultaneously.“I don’t think this particular rate increase, which the companies have admitted raises the credit profile and makes E.ON U.S. a more attractive target, is the appropriate time to go forward with such a rate increase," says Conway.It’s up to the PSC to rule on Conway’s dismissal motion and the attorney general hopes the commission will do so before next Tuesday’s hearing in the rate case.

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