LOUISVILLE, Ky. (WDRB) – Louisville Metro government has asked to become part of a legal proceeding in which the power provider, Louisville Gas & Electric, is seeking permission to raise rates for electric and gas service.

Metro government is one of LG&E’s biggest customers, spending $17 million a year on needs like electricity for street lights. Metro government filed a request with the Kentucky Public Service Commission to intervene in the LG&E case last week.

“We want a seat at the table,” said Josh Abner, a spokesman for Jefferson County Attorney Mike O’Connell’s office, which will represent Metro government along with outside lawyers.

LG&E last sought to hike rates in late 2016, and Metro government’s intervention in that case helped lead to a settlement in which the utility agreed to substantially lower increases than it originally proposed, O’Connell’s office said when the agreement was reached in May 2017.

Before the 2016 case, Louisville’s city government had not made a “significant” intervention in an LG&E rate case in more than 30 years, according to the O’Connell’s office.

LG&E, which serves Jefferson and 16 surrounding counties, notified the Public Service Commission in September that it wants to increase the average customer’s electric bill by 4 percent a month, or $4.32; and the average customer’s gas bill by 8 percent, or $4.93.

"This rate case will impact every household in our city, and it comes at a time when our city is also weighing the potential for an MSD rate increase necessary to ensure the future of our outdated flood protection system,” Louisville Mayor Greg Fischer said in a news release.

 

LG&E says it needs the money to offset $2.2 billion in upgrades such as stronger poles, wires, gas lines and outage detectors. 

Some senior citizens who live on social security are concerned about how the potential rate hike would affect them.

"We've had our electricity turned off several times because we couldn't afford to pay the bill," said Okolona resident Elizabeth Dickerson.

The case is still tied up with the Public Service Commission. Customers will eventually get the chance to give public feedback before a hearing is held. 

If rates do go up, LG&E says it won't take effect until May of next year.

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