Why the Public Service Commission? Why Public Comments?
Every day the Public Service Commission is making important decisions about our electric utilities. The PSC regulates our electric, water and some telecommunications utilities because they are monopolies, facing no competition to make them responsive to public needs. Their job is to make sure that we have fair, safe, and reliable service.
There is a public process for people to engage in these decisions, but many people don't know about the PSC, and they don't know how to participate. Unfortunately, If the public doesn’t speak up, the PSC only hears the utility and business perspectives and can't make the best decisions for us. The Attorney General's office is supposed to represent the interests of customers in PSC cases, but they don't always do a good job keeping the interests of both industrial and residential customers in mind.
There are many barriers to people participating in these PSC cases.
There is a public process for people to engage in these decisions, but many people don't know about the PSC, and they don't know how to participate. Unfortunately, If the public doesn’t speak up, the PSC only hears the utility and business perspectives and can't make the best decisions for us. The Attorney General's office is supposed to represent the interests of customers in PSC cases, but they don't always do a good job keeping the interests of both industrial and residential customers in mind.
There are many barriers to people participating in these PSC cases.
- Cases are complicated; while the utilities and business groups (e.g. the Kentucky Coal Association) can easily afford attorneys and experts needed to represent their interests, public interest groups have limited funds to represent theirs.
- The PSC website is hard to navigate, and the cases are not readily advertised for the public to engage.
That's where we come in. We're educating folks about the PSC, breaking down the information in utility proposals, providing sample talking points to include in public comments, and making sure folks know about the timelines.
And it's working! Since we started organizing around these issues we've seen record participation in public comments and oral comment meetings, with more people submitting comments for each subsequent case. We've seen the PSC asking harder questions of the utilities and making decisions that are more in line with what the people want. And some of our members have been pooling resources to bring our own expert witnesses to go head-to-head with the utilities in the formal intervention process. |
What kinds of cases are we participating in?
Rate Cases
Utilities come to the Public Service Commission and ask to make changes to their rates. They are requesting rate increases more and more frequently while many Kentuckians struggle to pay their electric bills. We believe that everyone should be able to afford their electric bill because electricity is an essential public service that no one can live without. The PSC needs to hear from people about how rate increases will affect them and utilities need to be held accountable for how they are using our money and making smart planning decisions that keep rates affordable.
Integrated Resource Plans
Every three years utilities are required to submit a plan for the next 15 years to the Public Service Commission for review. This planning process is incredibly important to ensure that utilities are thinking through the most realistic scenarios for the next 15 years and making sound decisions when determining how they will invest in energy efficiency and how and when they will bring new energy sources online. Historically utilities have not taken this process seriously and we've paid for their poor decisions.
Certificate of Public Convenience and Necessity (CPCN)
Utility companies make a guaranteed return on their (our) investment when they build new infrastructure. A Certificate of Public Convenience and Necessity, or CPCN, case is when they are requesting permission to charge customers to build new power plants or make investments to the electric grid. The PSC must determine whether or not the investment is actually necessary for safe and reliable service. Because we as customers are on the hook for paying for these projects it is important that we get a say in how our money is being spent and ensure that utilities are taking a forward-looking approach to new energy investments.
Demand-Side Management (DSM)
Demand-Side Management, or DSM, is how utility companies manage electricity demand. This includes increases energy efficiency both at the power plant level and at the home or business level. Since utilities make money when they build new infrastructure, they are not incentivized to lower energy demand. More demand means more money for utility companies and their shareholders. As such, utility companies are required to submit their DSM plans for approval alongside any request to build new projects.
Utilities come to the Public Service Commission and ask to make changes to their rates. They are requesting rate increases more and more frequently while many Kentuckians struggle to pay their electric bills. We believe that everyone should be able to afford their electric bill because electricity is an essential public service that no one can live without. The PSC needs to hear from people about how rate increases will affect them and utilities need to be held accountable for how they are using our money and making smart planning decisions that keep rates affordable.
Integrated Resource Plans
Every three years utilities are required to submit a plan for the next 15 years to the Public Service Commission for review. This planning process is incredibly important to ensure that utilities are thinking through the most realistic scenarios for the next 15 years and making sound decisions when determining how they will invest in energy efficiency and how and when they will bring new energy sources online. Historically utilities have not taken this process seriously and we've paid for their poor decisions.
Certificate of Public Convenience and Necessity (CPCN)
Utility companies make a guaranteed return on their (our) investment when they build new infrastructure. A Certificate of Public Convenience and Necessity, or CPCN, case is when they are requesting permission to charge customers to build new power plants or make investments to the electric grid. The PSC must determine whether or not the investment is actually necessary for safe and reliable service. Because we as customers are on the hook for paying for these projects it is important that we get a say in how our money is being spent and ensure that utilities are taking a forward-looking approach to new energy investments.
Demand-Side Management (DSM)
Demand-Side Management, or DSM, is how utility companies manage electricity demand. This includes increases energy efficiency both at the power plant level and at the home or business level. Since utilities make money when they build new infrastructure, they are not incentivized to lower energy demand. More demand means more money for utility companies and their shareholders. As such, utility companies are required to submit their DSM plans for approval alongside any request to build new projects.