Among the fees tacked onto your monthly electricity bill, there’s a little-understood charge that allows utilities to automatically pass on the costs they pay for fuels like coal and natural gas.
When prices for natural gas spike, as they have over the last two years, utilities pass those costs directly on to ratepayers. Lawmakers and energy experts say these electric fuel adjustment charges have led to unexpectedly high utility bills in Kentucky, often when people need power the most, like during a summer heatwave or a winter cold snap.
