Press Release

PUC Approves Rate Settlement with National Fuel Gas

Published on 3/23/2005

Filed under: Gas

HARRISBURG – The Pennsylvania Public Utility Commission (PUC) today voted to approve a settlement that will allow National Fuel Gas (NFG) to raise base rates by $12 million (3.45 percent) beginning on April 15. The company had asked for a $22.78 million (6.69 percent) increase. 

            Under the new rates, the average bill for a typical residential customer using 9,200 cubic feet of gas per month will increase $5, from $115 to $120. The company agreed not to file for another general rate increase before May 31, 2006.

            Buffalo-based National Fuel has a regional office in Erie and provides service to 214,000 customers in 14 northwestern Pennsylvania counties. The PUC held public input hearings on the rate case in DuBois on Jan. 19 and in Erie on Jan. 20. Thirty-two witnesses testified at the hearings.

            As part of the settlement, the company has credited $24,387 to customers for payments they made to CashPoint Network Services Inc., but which the bill processor failed to forward to NFG. The company will also provide additional notices to customers concerning proper payment options. In May 2004, the PUC instituted an investigation (press release) into the impact of CashPoint on Pennsylvania utility customers and major utilities after the company declared bankruptcy in N.Y.

            In addition, the settlement permits NFG to extend its Low Income Residential Assistance program beyond the current 8,500 customer limit.

            The settlement was supported by the PUC’s Office of Trial Staff, the state Office of Consumer Advocate and the state Office of Small Business Advocate.

            The Pennsylvania Public Utility Commission ensures safe, reliable and reasonably priced electric, natural gas, water, telephone and transportation service for Pennsylvania consumers, by regulating public utilities and by serving as stewards of competition.

            For recent news releases, or more information about the PUC, visit our internet homepage at www.puc.state.pa.us.

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Docket No.  R-00049656, et al/R-00049757

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