How We Manage Costs

At KCP&L, we are committed to managing our costs. Prior to 2006, we had not asked for a rate increase in 20 years. Since that time, however, the cost of producing and delivering electricity to our customers has increased each year.

As a result of rising costs to serve customers, we recently filed rate increase requests with the Kansas Corporation Commission and the Missouri Public Service Commission.

Along with these requests, we have also taken a number of steps to help reduce our costs:

• Reduced the size of our workforce, including the total number of executives, through an organizational realignment and voluntary separation program
• Reduced our operating budgets and expenditures
• Reduced costs and created efficiencies in our tree trimming program
• Realized millions of dollars of savings by:
• Creating more efficient inventory and purchasing processes
• Improving call management and customer billing processes
• Extending the life of our generation fleet

Despite these cost-savings measures implemented by KCP&L over the last several years, the costs of doing business have outpaced our ability to maintain current rates. To learn more about the reasons for these rate increase requests, click here for Kansas or click here for Missouri.