Kentucky Power rate review settlement agreement supports reliability, reduces bill impacts and creates pathway for future

About this update from American Electric Power Company, Inc.

[{"type":"text","content":"ASHLAND, Ky., Nov. 20, 2023 /PRNewswire/ -- Kentucky Power, an American Electric Power (Nasdaq: AEP) company, filed a settlement agreement with the Kentucky Public Service Commission today in its ongoing base rate review. \nThe settlement agreement paves the way for Kentucky Power to enhance reliability through expanded vegetation management and other distribution programs while reducing customer bill impacts initially proposed. The agreement also includes commitments, such as more than doubling the number of customers eligible for programs designed to assist low-income residential customers. Several groups representing customers worked with Kentucky Power to reach the agreement.\n\"Kentucky Power customers will benefit from this agreement which will allow us to provide additional services for our most vulnerable customers and improve reliability,\" said Cindy Wiseman, Kentucky Power president and COO. \"The agreement represents a constructive and positive step forward for our customers that was accomplished through a meaningful collaboration between the company and key customer groups. It provides us with a pathway for investing in eastern Kentucky.\"\nKentucky Power had proposed several customer programs in its initial filing, and additional programs were incorporated into the settlement agreement. The agreement includes: \nDoubling the company's contribution to its residential energy assistance program to expand the number of customers helped from approximately 3,700 under the company's initial proposal to 5,700 customers per year. The company's current residential energy assistance program currently assists approximately 2,700 customer per year.More assistance for the most vulnerable residential customers, including dedicating 21% of future energy efficiency programs to low-income customers.An optional seasonal tariff to assist customers in addressing high usage during winter months.Increased reliability projects, including an expanded rights-of-way widening project, to address the fact that half of outages are caused by trees falling outside of the company's rights-of-way.Extending bill due dates from 15 to 21 days.Securitization, which is a financial tool that will lower bill impacts related to certain existing costs for all customers.The settlement agreement requests Commission approval for new rates to be effective in mi...

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