AFP-KS Urges Kansas Corporation Commission to Oppose Gas Rate Increase

Jun 18, 2024 by AFP

AFP-KS says that ‘Bidenomics’ has made gas expensive enough, public utilities shouldn’t make a profit off ratepayers

Wichita, KS—Following public meetings by the Kansas Corporation Commission (KCC) to consider rate increases for Kansas Gas Service customers, Americans for Prosperity-Kansas (AFP-KS) submitted comments to urge the commission to deny any rate hike.

AFP-KS highlighted how requests within the Kansas Gas Services (KGS) application negatively impact ratepayers while prioritizing KGS’ bottom-line. Should the KCC approve KGS’ request, AFP-KS says that Kansans already fighting record inflation will be unnecessarily burdened as the state needs policy solutions that protect ratepayers, not profit off them.

AFP-KS State Director, Elizabeth Patton, submitted the following comments:

“At a time of record inflation, if Kansas Gas Services’ requests are approved, Kansas consumers will once again be required to bear the brunt of corporate decisions, seemingly made to benefit their own financial interests with little regard to the impact on their ratepayers.”

Additionally, AFP-KS challenged KGS’ request to:

  • Implement an A/B rate plan for residential customers
  • Allow 50% of financially based executive and officer incentive compensation to be included in the cost of service
  • Use a performance-based ratemaking mechanism to annually adjust rates outside of a general rate case
  • Allow a Return on Equity of 10.25%
  • Allow the $35 million under the Gas System Reliability Surcharge to be reclassified into base rates so that whatever ROE is approved would apply to those figures.