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POWER DISPUTE
9 cities across Kentucky threaten to end electricity contracts with Kentucky Utilities

Reported by: Associated Press
Reported: Thursday, May 15, 2014 8:49 AM EDT
FRANKFORT, Ky.


A dispute over the price of electricity has led nine municipalities to notify Kentucky Utilities that they intend to seek other providers when their contracts expire.

The Courier-Journal reports the cities say in a letter that they believe moving to the open market could save money and lead to a more flexible contract.

The threats follow new contract demands KU made last year that would raise rates and fees and extend commitments from five years to 10.

Both sides continue to negotiate — another settlement discussion is set for May 29 — in hopes that an agreement can be reached before the current contracts expire in five years.

The municipal power providers who have threatened to break away include Frankfort, Barbourville, Bardwell, Berea, Corbin, Falmouth, Madisonville, Paris and Providence.

Information from: The Courier-Journal, http://www.courier-journal.com










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