SB172

Kentucky SB172 amends utility fuel adjustment regulations to allow for extended recovery periods and specific cost evaluations.

Kentucky SB172 modifies the administration of electric utility fuel adjustment clauses. It allows the commission to extend the recovery period for fuel adjustment costs to reduce consumer volatility and promote rate stability. The bill also mandates that the commission evaluate fuel costs in procurement contracts and bids based on the fuel cost minus any coal severance tax. This change applies to contracts entered into after July 1, 2021.