Press Release

PUC Approves Gas Cost Rate Changes for 9 Natural Gas Companies

Published on 10/22/2009

Filed under: Gas

HARRISBURG – The Pennsylvania Public Utility Commission (PUC) today voted to approve changes to the interim gas cost rate (GCR) for 9 Pennsylvania natural gas companies. 

The companies and their approved rates, which will become effective with service rendered on or after Nov. 1, 2009, are:

Andreassi Gas Co.

New: $6.2492/Mcf
Current: $10.8339/Mcf
Percent change: -42.3

Sergeant Gas Co.

New: $3.8185/Mcf

Current: $3.9439/Mcf

Percent change: -3.2

Sigel Gas Co. Inc.

New: $4.8333/Mcf

Current: $8.1482/Mcf

Percent change: -40.7

Chartiers Natural Gas Co. Inc.

New: $4.2772/Mcf

Current: $5.7557/Mcf

Percent change: -25.7

Clarion River Gas – Orwell Natural Gas

New: $6.3975/Mcf

Current: $10.7982/Mcf

Percent change: -40.8

Wally Gas Co.

New: $8.7766/Mcf

Current: $10.4696/Mcf

Percent change: -16.2

Walker Gas – Orwell Natural Gas

New: $6.0500/Mcf

Current: $8.9408/Mcf

Percent change: -32.3

Pine Roe Natural Gas Co. Inc.

New: $8.7740/Mcf

Current: $10.3845/Mcf

Percent change: -15.5

Herman Riemer Gas Co.

New: $9.1884/Mcf

Current: $7.5771/Mcf

Percent change: +21.3

One company failed to submit their annual GCR filing in a timely manner. Customers of Herman Oil and Gas Co. will continue to pay their current rate of $10.3615/Mcf.

The Commission also voted to approve a motion of Commissioner Wayne E. Gardner, which instructed the Commission’s Bureau of Audits recalculate the GCR of North East Heat & Light Co. to include the interest for overcollections.  The GCR originally filed by North East Heat & Light did not include a calculation for interest.  The issue of waiving the calculated interest will be considered pending further consideration by the Commission.

Comments on the issue of North East Heat and Light’s request for a waiver of the interest due for overcollections for the twelve-month period ending Aug. 31, 2009, will be considered timely if received by the Commission within fifteen days of issuance of the secretarial letter, with reply comments due five days thereafter.

Smaller natural gas utilities file for changes to their GCR annually.  In doing so, the utility company recalculates its rates to reflect what it projects to pay for natural gas during the upcoming twelve-month GCR period, and includes a reconciliation of undercollections or overcollections resulting from differences in actual sales and actual gas costs from prior projections. 

The Commission has the ability to make adjustments in the annual GCR proceeding and order refunds to customers if the utility is found to have acted imprudently.

Gas utilities are required to provide reliable natural gas service at the least possible cost.  Every natural gas utility company is audited annually by the PUC to ensure the GCR they are passing on to their consumers reflects the costs the company paid and that every effort was made to purchase the natural gas for the least possible price.

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. M-2009-2132716; M-2009-2132731; M-2009-2133290; M-2009-2133964; M-2009-2133973; M-2009-2134325; M-2009-2134330; M-2009-2134335; M-2009-2134358; M-2009-2135476 and M-2009-2135764

 

Contact:

• Press Secretary
  717-787-5722