Kansas Gas Service Rate Hike Called Fair
The Citizens' Utility Ratepayers Board, a consumer advocacy agency for utility customers, says the agreement recently reached on a Kansas Gas Service rate hike was a fair one.
David Springee, an attorney with CURB, says it's actually a significantly lower increase than the utility had requested.
“Kansas Gas Service asked for a 10.75% shareholder profit to be built into rates. Clearly we all understand given the capital markets that’s a very high number and they knew were not going to get that,” says Springee.
KGS had also initially requested a revenue guarantee - to ensure a certain amount of profit. Springee says no utility has ever been granted a revenue guarantee in the entire 110 year history of the Kansas Corporation Commission.