Press Release

PUC Approves Settlement for Lower Rate than Requested by UGI Central Penn Gas, UGI Penn Natural Gas

Published on 8/27/2009

Filed under: Gas

HARRISBURG – The Pennsylvania Public Utility Commission (PUC) today approved a settlement for lower rates than requested by UGI Central Penn Gas Inc. and UGI Penn Natural Gas Inc.

The Commission voted 5-0 to approve the settlement, which was reached between the companies, the Office of Consumer Advocate, the Office of the Small Business Advocate, the Commission’s Office of Trial Staff and other formal complainants. PUC Chairman James H. Cawley issued a statement. More information on the ratemaking process is available on the Commission’s Web site.

UGI Central Penn

Under the terms of the settlement, UGI Central Penn will be permitted to increase annual operating revenues by $10 million (6.1 percent). The company was originally requesting an increase of about $19.6 million (12.1 percent).

The bill for an average residential customer using 6.7 dekatherm (Dth) of natural gas a month will see their bill increase from $116.92 a month to $126.23 (7.96 percent) a month. Under the original proposal, the customer's bill would have increased to $132.79 (15.8 percent) a month.

UGI Central Penn provides natural gas service to approximately 77,000 customers in 35 counties.

UGI Penn

Under the terms of the settlement, UGI Penn will be permitted to increase annual operating revenues by $19.75 million (5.9 percent). The company was originally requesting an increase of about $38.1 million (11.4 percent).

The bill for an average residential customer using 8.9 thousand cubic feet (Mcf) of natural gas a month will see their bill increase from $138.91 a month to $148.99 (7.3 percent) a month. Under the original proposal, the customer's bill would have increased to $155.94 (12.7 percent) a month.

UGI Penn provides natural gas service to approximately 160,000 customers in 13 counties.

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 website at www.puc.state.pa.us.

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Docket Nos. R-2008-2079675; R-2008-2079660

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