MEMPHIS, Tenn. — Memphians will officially see increased utility bills from MLGW starting in 2024 after the Memphis City Council approved the 12% rate hike Tuesday with a 9-4 vote.
MLGW President Doug McGowen said the average MLGW customer would see their bill rise by $5 a month in 2024, and again the next year, raising the average bill from $120 to $135 by 2026.
MLGW's board approved the rate hike in October, which moved the issue to city council for approval.
McGowen said when the rate hike was announced the increased revenue would be necessary to fight inflation and repair the city's infrastructure and electrical grid.
He also said the utility will be moving MLGW's main office - away from their downtown Memphis location - to a new 300,000 sq. foot facility in Cordova that would better consolidate their operations.
McGowen said the move and the cost increase for upgrades would be the best long-term solution for MLGW.
"There are no guarantees, but, the aggressive program of improvements that we are forecasting for our electric is our best path forward," McGowen said.
McGowen added, for MLGW customers unable to pay their billl, the utility has "aggressive" utility assistance programs through MIFA and the United Way.