Share “Ameren Missouri seeking $264M rate increase”

Ameren Missouri seeking $264M rate increase

Published on NewsOK Modified: July 3, 2014 at 4:33 pm •  Published: July 3, 2014

JEFFERSON CITY, Mo. (AP) — Utility provider Ameren Missouri sought approval Thursday for a $264 million rate increase for its electric customers, which could result in an extra $10 a month on a typical residential bill.

With about 1.2 million power customers, Ameren Missouri is the state's largest electric provider. If granted by state regulators, the rate increase would be the sixth in roughly the past eight years for the St. Louis-based utility.

Ameren said about half of the rate increase is due to rising costs for the fuel used to generate electricity. The rate increase also would cover the costs for various improvements, including new equipment at coal-fired and nuclear power plants and new electrical substations in the St. Louis area. A portion of the increase is attributable to solar power investments and customer rebates.

The 9.7 percent rate increase would amount to an extra $10 a month for an average residential customer using 1,100 kilowatt hours of electricity, said Warren Wood, the company's vice president of external affairs and communications.

Although requesting more money from customers, "we're working very hard to keep our rates low by cutting costs wherever we can," Wood said.

Rate increases for investor-owned utilities are subject to approval by the Missouri Public Service Commission through a regulatory process that can take up to 11 months. Consumer advocates, industrial energy users and the commission's staff all will have a chance to weigh in on whether the increase is justified.

Continue reading this story on the...