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Utilities Prevail In Rate Case

Rate hikes for Kentucky’s two largest utilities have been approved in Frankfort.  The increases come over the objections of the state attorney general’s office.Louisville Gas and Electric and Kentucky Utilities are being sold by E.ON U.S. to Pennsylvania-based PPL. The Kentucky attorney general’s office argues it would be improper to grant the utilities rate increases while the sale is pending. But Andrew Melnykovych of the Kentucky Public Service Commission says the AG’s arguments have been rejected.“The attorney general had wanted the case to be postponed until after the commission had ruled on the proposed transfer of the two utilities and the commission denied that motion saying that there were no grounds for doing so at this time," he says.And the commission is granting the revised rate hikes being sought. The increases mean monthly light bills for residential customers of the utilities will rise by about seven dollars.