Memphis residents should brace for a slight uptick in their utility bills come the new year, as Memphis Light, Gas and Water (MLGW) wraps up its planned rate increases. An additional 4% hike, slated to commence in January 2026, is the final phase of a 12% multi-year rate adjustment that was set in motion in 2023, as reported by Commercial Appeal.
The incremental adjustments initiated by MLGW were intended to facilitate enhancements, including upgrading substation components and the replacement of aging infrastructure. Despite these necessary improvements, customers’ wallets aren’t being overlooked. “This final installment completes the responsible, phased plan approved in 2023 to strengthen our systems and improve reliability for all customers,” MLGW President and CEO Doug McGowen indicated, underlining a commitment to affordability, as detailed in a December 3 press release cited by Commercial Appeal.
On average, customers can expect an increase of around $5 on their monthly bill. The series of rate hikes, though mild for some, underpins a larger modernization project aimed at bolstering the electric system’s resilience across the Mid-South. These endeavors have already reaped measurable benefits, with a reported 50% reduction in power outages in the Orange Mound area, following a $28 million investment into new poles and maintenance. Next on the list for similar enhancements is the Castalia Heights neighborhood, proof of ongoing progress as noted by WREG…