(MSC News)--A smaller than proposed rate increase for customers of Kansas Gas Service, following the approval of a settlement agreement.

The Kansas Corporation Commission, in a news release Tuesday, says the settlement they have reached is nearly $20 million less than than what had been requested by Kansas Gas Service.

The settlement means that customers will see a $1.25 per month rate increase, as compared to the proposed $4.54 hike originally requested by KGS.

The application for the proposal sought a net revenue increase of $35.4 million.

The company was also seeking the approval of a Cost of Service Adjustment which would reset rates annually.

As part of the settlement agreement, KGS agreed to withdraw that request.

A public hearing held by the KCC in September, regarding the proposed increase, received 591 public comments.