Evergy, the utility company that emerged from a merger between Westar Energy and Kansas City Power & Light in 2018, is seeking an 8.62% increase in electric rates, amounting to $196.4 million across its 735,000 customers in Kansas cities including Wichita, Olathe, Topeka, and Lawrence. If approved, the average residential customer would see their monthly bill rise by slightly over $13.
The request is currently under review by the Kansas Corporation Commission, which typically adjudicates these rate cases through a process that often results in reduced requests from utilities. However, the proposal has stirred public concern, especially regarding the idea of moving towards a competitive energy market, as suggested by Wichita resident Lori Lawrence, who called for a dismantling of the current regulated monopoly system.
Lawrence, the chair of the local Sierra Club, argued that competition could lead to lower rates for consumers. While her perspective resonated with the audience, the risks of introducing competition in the energy sector were highlighted by the speaker, invoking the notorious energy crisis in California when deregulation led to chaos under energy traders, including Enron. The fallout included skyrocketing prices and rolling blackouts, consequences that many Kansas residents are understandably wary of repeating.
The situation invites critical discussion about the balance between regulation and competition in energy provision, weighing the potential benefits of lower rates against the dangers of market manipulation and instability seen in other states.
It’s essential for Kansas lawmakers and regulators to carefully consider not just the proposed rate increase, but also the broader implications of altering the existing energy market framework. Engaging with the public’s concerns while ensuring a reliable energy supply is crucial as the debate continues.