Kentucky Attorney General Daniel Cameron has announced a settlement with the state’s two largest electric utilities to reduce proposed rate increases.

Cameron’s office said the settlement would save ratepayers at LG&E and Kentucky Utilities more than $113 million and “ensures the companies will not impose an additional rate increase before July, 2025.”

The agreement must get the approval of the Kentucky Public Service Commission.

The utility companies proposed in a meeting with the state commission in November to increase rates by $331 million. The settlement cuts that by about 34 percent over two years, Cameron’s office said in a media release. Ratepayers will still see increases, but they will be smaller than what the utilities proposed, according to the AG’s office.

Cameron, a Republican, said the settlement may also lengthen the life of three coal-fired generating units at two power plants, Mill Creek in Louisville and the E.W. Brown Generating Station in Harrodsburg. All three aging units are slated to be retired in the next decade, the utility said.