KCP&L Rate Increase Approved, Regulators Split On Decision
The Kansas Corporation Commission has approved a rate increase of 9 percent for customers of Kansas City Power & Light. The increase was a compromise allowing the electricity company to collect an additional $48 million per year from its 250,000 Kansas electricity customers.
KCP&L says the increase pays for power plant upgrades and means a cleaner, more reliable electric system.
KCC Commissioner Pat Apple voted against the proposal. He says Kansas customers of KCP&L consistently have to pay more for electricity than customers on the Missouri side of the border.
“Kansas consumers and businesses are at a disadvantage. Higher rates discourage economic development in Kansas and impact family and business budgets,” says Apple.
Apple says because of that and other concerns, he believes the agreement's 9.3 percent profit rate for KCP&L is too high. The company had originally requested a 10.3 percent rate of return.
In a statement, a company spokesperson says the lower profit rate might cause them to ask for more frequent rate increases in the future.