Yesterday, the Kentucky Public Service Commission opened a case that will allow all stakeholders, including local utilities and utility customers, to identify the causes and consequences of rising energy costs and discuss potential solutions. This news follows fierce advocacy by Sierra Club and partner groups in support of an affordability docket, including the submission of a joint letter to the PSC mentioned in the PSC’s order. According to the PSC’s announcement, the average residential electricity price in Kentucky increased nearly 22 percent over five years, from 10.87 cents per kilowatt-hour (kWh) in 2020 to 13.24 cents per kWh in 2025. As bills increase, Kentucky’s low and moderate income families have especially felt the strain. Sierra Club Kentucky is particularly concerned by how the state’s continued reliance on high-cost coal plants and the potential rapid build out of high-consuming data centers could impact utility customer bills. According to a recent study, a transition away from coal and gas, toward increased energy efficiency measures, cleaner, more reliable generation, and battery storage could save Kentuckians billions of dollars. In response to today’s announcement, Sierra Club Kentucky’s Legislative Chair Mark Ritter issued the following statement: “Sierra Club Kentucky celebrates the PSC’s decision. The Commission’s self-professed mission is to provide customers ‘safe and reliable service at a reasonable price.’ An affordability docket is the right first step toward better achieving this goal. Right now, utility customers in every corner of the Commonwealth are struggling to afford rising costs to keep their homes powered and businesses open, largely due to our continued reliance on aging and expensive coal plants. As this docket progresses, we will continue to urge the PSC to address concerns surrounding coal reliance and the potential impact of data center deployment on what Kentuckians have to pay just to live and work. Affordable energy, cleaner air, and reliable service is what Kentucky needs to build a sustainable future, and we will keep fighting for it.”
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