The Kansas Corporation Commission has approved a request from Kansas Gas Service for a rate increase.
The commission met on Thursday, approving the settlement for rate increase beginning in November.
The agreement is a settlement rate increase of $35 million, compared to the original $58.1 million the utility asked for earlier this year; KGS also agreed to withdraw its proposed two-tier-rate system based on energy usage.
The KCC had originally recommended a $31.7 million rate increase, while the Kansas Citizens Utility Ratepayer Board pushed for a settlement of $10.8 million. Today’s settlement means KGS customers with average use will see their bills increase by $3.83 per month ($46.02 per year), compared to the proposed two-tier system, in which customers who used less natural gas would see a $6.71 (10.41%) increase and a $9.48 (8.25%) increase for those who use more natural gas.
A proposal to implement a mechanism to annually adjust rates was also withdrawn by KGS after facing opposition from the KCC and CURB.