Kentucky Assistance Programs Start December 1

The Kentucky Public Service Commission (PSC) gave final approval November 24 to Louisville Gas & Electric and Kentucky Utilities programs that charge 10 cents per residential meter to fund home energy assistance to low-income customers.

The utilities, subsidiaries of LG&E Energy, may begin distributing funds to low-income customers December 1. The programs will run on a trial basis for three years.

In its preliminary approval, given at the end of September, the PSC told the utilities to justify the differences in their programs. The KU program will provide a fixed subsidy of $294 per year, in seven monthly installments of $42 each, to customers who use electric heat. LG&E subsidies will be based on a participant's income and energy usage.

LG&E estimated its program would provide $840,000 in aid to 900 households each year. The KU program is projected to raise $1.3 million a year, to be distributed to 1,300 households.

The PSC found that the differences reflect separate accounting and billing systems at the utilities and the social service agencies administering the programs.

The PSC orders (2004-00303 and 2004-00304) also expressed disappointment that funding for the programs did not include a shareholder contribution, along with the charge on residential customers. The PSC said it has no authority to order a shareholder contribution.

Source: The Courier-Journal

Page Last Updated: December 7, 2005