The Kentucky Public Service Commission has approved Kentucky Power’s request to create an Economic Development Rider tariff to facilitate new commercial and industrial projects within its service territory.
Kentucky Power is a subsidiary American Electric Power (NYSE:AEP).
The rider, which was approved March 4, is limited to new or existing large commercial and industrial customers who implement new production projects.
“We are pleased the Kentucky Public Service Commission saw the value in our proposal to facilitate location and expansion offers throughout Eastern Kentucky,” said Greg Pauley, Kentucky Power president and chief operating office. “Kentucky Power takes great pride in working with local, regional and state organizations to promote economic growth in the communities we serve. This program will help promote stronger local economies to bring in new jobs and businesses.”
To qualify, each new investment must create at least 500 kW of new maximum billing demand over a base level and could receive a temporary demand charge discount of up to 50 percent depending upon the length of the contract. In addition, a supplemental demand discount of up to 5 percent may be available for customers who create and sustain 50 or more new jobs.