Press Release

PUC Allows Columbia Gas of Pennsylvania to Use Part of Settlement Proceeds to Fund Residential Hardship Fund

Published on 3/12/2009

Filed under: Gas

HARRISBURG – The Pennsylvania Public Utility Commission (PUC) today approved a petition of Columbia Gas of Pennsylvania Inc. (Columbia Gas) to use settlement proceeds to fund its residential hardship fund, as well as provide purchased gas cost credits to small commercial customers.

The Commission voted 4-1 to approve a motion by PUC Vice Chairman Tyrone J. Christy, which will allow Columbia Gas to provide $768,942 to assist its residential and small commercial customers.  Commissioner Kim Pizzingrilli issued a dissenting statement.  Columbia Gas plans to allocate $572,862 of its share of the settlement to its existing residential Hardship Fund and $196,080 to small commercial customers.  The Hardship Fund is a Columbia-sponsored fuel fund that provides financial assistance through grants to low-income, payment troubled customers. 

An agreement approved by the Federal Energy Regulatory Commission (FERC) on Nov. 6, 2008, provides that Columbia’s affiliates, Columbia Gas Transmission and Columbia Gulf Transmission Corporation (TCO), will disgorge $9 million of profits to their customers because those profits were made through illegally-provided parking and lending services.  TCO provides an interruptible paper pooling service and a parking and lending service, which were found by FERC to have produced an accumulation of imbalances between November 1998 and October 2003. 

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.

###

Docket No. P-2009-2083915

Contact:

• Denise McCracken
  Senior Communications Specialist
  717-787-5722
  demccracken@pa.gov