LG&E customers could see higher bills under proposed rate hike

LOUISVILLE, Ky. (WDRB) -- Kentucky's Public Service Commission held a public meeting Monday to let customers know about proposed rate hikes for LG&E.

Under the proposal, the average monthly residential electric bill will increase just over $11, which is about a 10% hike. For gas, bills would go up just a little more, $11.12, a roughly 15% increase.

LG&E officials said the increase is mainly to invest in new infrastructure. The proposed increase is the first one since 2020.

Part of the concern at Monday's meeting centered around data centers. Several have been proposed in the Louisville area in recent months, and they're known to be heavy consumers of utilities.

"We have to ensure that rates are fair, just and reasonable for all customers," Liz Pratt, LG&E spokesperson, said. "So as part of this new proposed rate, it includes a 15-year commitment, it also includes an 80% coverage of the energy demand that's needed, and so what that does is that ensures that those largest customers are paying for their fair share of the system operations and the energy that's needed."

The earliest the rate hikes could go into effect, if approved by the Public Service Commission, would be Jan. 1, 2026.

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