Customers of Kansas Gas Service will see higher bills for the next five to 10 years with a plan approved by State Regulators. The gas company wants to recoup $366 million it spent during the historic cold outbreak in February 2021. The Kansas Corporation Commission, or KCC, approved a settlement agreement yesterday. KGS customers will pay anywhere from $5.00 to $7.00 more a month, but the exact amount and length of time are unclear because of the financing process. The utility, like others regulated by the KCC, was ordered to do everything possible to continue providing natural gas service to its customers, defer the charges and then develop a plan to allow customers to pay the unusually high costs over time to minimize the financial impact.
Kansas Gas will apply for Securitized Utility Tariff Bonds to get the best financing possible. These bonds allow utilities to secure bonds to pay for extraordinary cost at low terms to save customers money.
