To view of a copy of the December 2024 Kentucky Living Rate Case notice: Click Here

To view Shelby Energy's filing with the PSC: View Case Filings for: 2024-00351

FAQS

1. What is Shelby Energy filing an application for? Shelby Energy has filed a notice with the Kentucky PSC for a rate adjustment increase to revenue by 4.33%. The increase was allocated to rate classes based on a cost of service study performed by a third party.

2. Where can I view a copy of the full notice?

• View Case Filings for: 2024-00351
• Paper copies available by request from the drive-thru window at office

3. What is the Kentucky Public Service Commission’s website where members can see all the rate case documents?

• www.psc.ky.gov   

4. When was the last rate increase? Shelby Energy's last full rate case was in 2017. The 2023 streamlined case was not fully approved and thus did not resolve Shelby's financial condition. 

5. Why is Shelby Energy requesting a rate increase? 

• The main contributors are the increases in material cost, labor, interest, and general prices for all commodities during this highly inflationary period.
•  Materials such as conduit, conductor, transformers, poles, and hardware have increased on average by over 50% during this period further complicated by supply chain disruption.
• Labor costs have increased by approximately 25% over this period and it is much more difficult to attract and retain the skilled workforce we require.
• Interest rates have steadily increased from historic lows.
• Inflation in general has seen a 24% rise in cost since 2017 affecting fuel, vehicles, supplies consumed, and every aspect of our operation. 

6. What operating conditions have changed since the last increase? 

• Shelby Energy has analyzed positions as retirements and other separations occurred and have reduced our workforce by 1.9 full-time equivalents.
• Upgraded our technology platform to help leverage our current employees so we can defer additional hires as long as possible.
• Shelby Energy has increased its efforts in proactive maintenance efforts such as right of way and pole inspection and treatment for better reliability.
• Outsourced some basic low-level tasks (e.g. underground locates) for better utilization of our line crews at significant savings.
• Eliminated the credit card convenience fee to make online payments more cost effective and assist our pre-pay members.