Authorizing the state corporation commission to increase or decrease an electric public utility's return on equity based on whether such utility's all-in average retail rate has increased or decreased.

HB 2032 allows Kansas' State Corporation Commission to adjust electric utilities' profit margins (return on equity) based on changes to their average customer electricity rates. If a utility's all-in average retail rate (total cost per kilowatt-hour including all fees and taxes) increased by 1% or less in the prior year, the Commission may raise the utility's profit margin by up to 0.5%. Conversely, if rates rose more than 1%, the Commission may lower the profit margin by up to 0.5%. The bill requires rate adjustments to reflect these changes and defines "all-in average retail rate" as the total cost customers pay per kilowatt-hour.