The Ohio Supreme Court has ruled in favor of Duke Energy’s request to increase natural gas rates for its customers in southwest Ohio. This decision affects approximately 450,000 customers in the region, who will see the costs of decommissioning propane caverns in Cincinnati’s East End reflected in their bills over the next decade.

The court’s unanimous 7-0 decision supports the Ohio Public Utilities Commission’s earlier approval of the rate hike, which allows Duke Energy to recoup the $29 million spent on retiring the caverns. The justices stated that the costs are recoverable under state law, specifically citing R.C. 4909.15(A)(4).

This decision follows an appeal by the Office of the Ohio Consumers’ Counsel, a state public watchdog agency, which sought to prevent the rate increase. Despite their efforts, the court found no error in the Utilities Commission’s decision to permit the rate hike.

Potential Electric Rate Increase

In addition to the natural gas rate hike, Duke Energy customers may face another increase in their electric bills. The company has proposed a separate rate hike to fund recent upgrades to its electric infrastructure, aimed at reducing power outages. This proposal is currently under review and could result in a 38% increase in electric rates if approved.

Duke Energy spokesperson Matt Martin highlighted the investments made in the electric grid, including smart self-healing technology that has improved service reliability. This is the first electric rate case filed by Duke Energy since 2021.

Based in Charlotte, North Carolina, Duke Energy serves as the primary energy supplier for a significant portion of southwest Ohio, providing both electric and natural gas services to the area.

Original reporting: WLWT Cincinnati — read the source article.