LG&E Hopes to Pass Along Windstorm Costs to Consumers

by scrosby on December 2, 2008

Louisville Gas and Electric wants to pass on the costs the company incurred from the September windstorm to customers starting as early as next year. The company has filed a report with the Public Service Commission, asking the PSC to deem the costs a ‘regulatory asset’, which could be included in a pending rate increase request.

LG and E spokesperson Chris Whelan says recovery from the windstorm cost the company about 35-million dollars.

“Basically that is divided into two parts, 26-something-point-something is in O&M, which means its labor and operations and maintenance,” says Whelan, “and then the other 8-something is based on capital expenditures, which is poles and wires and transformers and so forth, that were put in place during the windstorm.”

Whelan says it would add a monthly fee of less than a dollar to residential bills.

“It is not based upon usage; it’s based across the board. We have various levels of customer classes, business, commercial and residential, but the 75-cents is basically what we expect it will cost for a residential customer over the next five years, per month, for their bill,” says Whelan.

Whelan says a decision from the PSC on the windstorm cost request could come within a week.

Comments Closed

Comments on this entry are closed.

Previous post:

Next post: