Press Release

PUC Approves Lower Rate than Requested by PPL Gas

Published on 2/8/2007

Filed under: Gas

HARRISBURG – The Pennsylvania Public Utility Commission (PUC) today approved a lower rate than requested by PPL Gas.

The Commission voted 4-0 to approve a base rate increase totaling about $8.1 million (3.9 percent). The company’s request was to increase base rates by about $12.8 million (6.2 percent). Vice Chairman James Cawley issued a statementconcurring in part and dissenting in part.

Under the new base rates, the annual bill for an average customer using 8 dekatherms of natural gas will increase by about $80 (4.5 percent). The average annual residential bill would increase from about $1,796 to $1,876.

The company’s proposal would have increased the annual bill for an average customer using 8 dekatherms of natural gas by about $127. The average annual residential bill would have increased to $1,923.

The rates may go into effect on or after Feb. 9, 2007. The Commission also ordered the company to file a proposed Low Income Usage Reduction Program, including funding mechanisms, for Commission consideration. PPL Gas serves about 75,000 customers in 27 counties in Pennsylvania.

The Pennsylvania Public Utility Commission balances the needs of consumers and utilities to ensure safe and reliable utility service at reasonable rates; protect the public interest; educate consumers to make independent and informed utility choices; further economic development; and foster new technologies and competitive markets in an environmentally sound manner. For recent news releases, audio of select Commission proceedings or more information about the PUC, visit our Web site at www.puc.state.pa.us.

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Docket No. R-00061398

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