Kansas Gas Service customers will soon pay about $1.25 more a month to have gas delivered to their homes.
On Tuesday, the Kansas Corporation Commission issued an order approving a $15.5 million rate increase. That includes $7.4 million in surcharges that customers are already paying to improve reliability of the system, so the actual net increase is $8.1 million.
The increase is a result of a settlement reached between the gas company, the commission staff, the Citizens’ Utility Ratepayer Board and other parties who intervened in the case.
Kansas Gas had originally requested a much larger increase of $35.4 million.
The company also originally sought a policy for cost-of-service adjustments that would reset rates annually. Kansas Gas withdrew that request as part of the negotiated settlement.
The rate increase applies only to the money the gas company gets for delivering gas to customers.
The actual cost of natural gas on consumer bills is based on market rates and changes monthly because of fluctuations in gas prices.