Evergy Requests to Recover Costs Related to Generation Capacity, Grid Modernization for Evergy Missouri West Customers

Evergy, Inc. (NASDAQ: EVRG) filed a request and supporting documentation with the Missouri Public Service Commission today to recover investments made in generation capacity and grid modernization for customers in its Evergy Missouri West service area.

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Evergy Missouri rates have decreased since 2017 while rates regionally have increased. See Evergy news release for data sources and graph footnote. (Graphic: Business Wire)

The Evergy Missouri West service area serves more than 340,000 customers and includes St. Joseph, Liberty, Platte City, Harrisonville, and Warrensburg, among other cities. The majority of the Kansas City Metropolitan region is not in the Missouri West service area. Most Kansas City Metropolitan customers are in the Missouri Metro service area. Evergy is not asking for any changes to base rates in its Missouri Metro service area.

As part of today’s filing, Evergy is requesting to increase base rates for Evergy Missouri West customers by about $104 million, or 13.42% percent, excluding fuel. The prices customers pay for electric service are calculated based on actual costs the company incurred and investments the company has made. To justify any price increase, Evergy must demonstrate that the costs were warranted and prudent. The request also includes a 0.57% increase to account for increased fuel costs. Evergy has not requested structural changes to the time-based rate plans that were implemented in 2023.

The filing today begins an 11-month process where regulators and interveners will review, audit and evaluate the request to ensure the resulting prices reflect the actual cost of serving Evergy Missouri West customers. The process will include public hearings later in the year, which are yet to be scheduled. If approved, new rates will become effective on January 1, 2025.

“We are investing strategically to ensure customers have reliable, affordable energy,” said Evergy President and Chief Executive Officer David Campbell. “Our focus continues to be on more efficiently running the business, which despite this period of record inflation has resulted in a reduced increase ask for our customers. While most area states have seen electricity costs increase about 11 percent over the past six years, Evergy’s prices have remained regionally competitive and even declined in some areas,” Campbell continued.