UPDATE: Feb. 19 at 5:20 p.m.
Gov. Andy Beshear has officially signed Senate Bill 172, which aims to address sudden spikes to electric bills for Kentuckians caused by sharp increase in fuel costs, into law.
"At a time when things cost too much for our families, I’m glad leaders from each side of the aisle could work together to do what’s right: lower the cost of utilities for Kentucky families," Beshear wrote on social media. "Now, there’s an opportunity to do even more if the General Assembly passes my $75 million proposal to help at-risk Kentuckians afford their utility bills."
Sponsored by Sen. Phillip Wheeler, the bill is the first to be signed into law in the 2026 legislative session.
Original Story:
Senate Bill 172, which aims to address "sudden spikes in electric bills caused by sharp increases in fuel costs, particularly during extreme weather events," has passed the General Assembly and is now headed to the governor's desk.
According to a press release, it is Kentucky's first bill of the 2026 session to pass both chambers. If signed into law, the bill would give authority to the Kentucky Public Service Commission (PSC) upon request from utility providers, to spread the cost of fuel recovery over several months rather than through a large, one-time charge.
Under current law, "utilities face higher fuel expenses, often driven by volatility in natural gas markets, those costs are recovered through a fuel adjustment surcharge added to monthly electric bills."
The bill, sponsored by Sen. Phillip Wheeler, comes amid concerns about higher electric bills from constituents.
“I want to be clear: this is not a silver bullet,” Wheeler said in the release. “Energy affordability is a serious challenge nationwide. Over the past decade and a half, federal energy policies have reduced reliable baseload generation and tightened supply while demand continues to increase. Kentucky once enjoyed some of the lowest power rates in the country, driven largely by coal. As that generation has declined, we’ve seen more volatility. This bill won’t solve everything, but it is a responsible step we can take at the state level to help protect our constituents.”
