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In a prior rate case (ER-2012-0175), the Missouri Public Service Commission approved a plan to perform a comprehensive study on the impacts of eliminating separate MPS and L&P rates and implementing company-wide, uniform rates. That study was completed and indicated that consolidation may be reasonably accomplished. The consolidation was requested in this case.
Residential and business customers in KCP&L’s Greater Missouri Operations service area will each be impacted differently by this proposed rate consolidation. The impact could be higher or lower than the requested increase and will be based on how much energy a customer uses and how that use is treated within the new combined or consolidated rate structure.
Customers would be individually evaluated and assigned to the rate that best fits their situation and minimizes the annual amount they would pay. Rate consolidation offers common pricing across the areas served by GMO and will help streamline customer service.
For residential and smaller business customers, the consolidated rate design proposed by KCP&L has a customer charge and energy charges. Typically, energy charges are higher in the summer months than the winter months, because customers tend to use more electricity in the summer.
For larger commercial and industrial customers, KCP&L is proposing to use a four-part rate. The four parts—customer charge, facilities charge, demand charge and energy charge—provide more detail and transparency to customers about the elements that comprise the cost of providing electric service.
Under the proposed rates, managing your summer usage, particularly for most commercial and industrial customers, is important to managing your bill through the remainder of the year.
* The Customer Charge is a fixed monthly charge that includes the cost to provide service for each customer.