West Virginia Breaking News

 

Gas Bills Could Rise by 33.5%

(August 7) Gas bills for consumers could jump by between $30 and $45 a month this winter, if rate-hike requests averaging 33.5 percent filed at the Public Service Commission on Aug. 1 are approved. The five largest gas utilities in West Virginia are seeking rate increases ranging from 24 percent to 48 percent.

Billy Jack Gregg, director of the PSC's consumer advocate division, said the filings overall represent a 33.5 percent increase over current rates. Last year, typical customers using 13,000 cubic feet of gas a month paid about $103 each month, while this year they would pay about $138 "if the companies get what they want," he said.

Mountaineer Gas Co., part of Allegheny Energy, is asking for an increase of 31.6 percent, effective Nov. 1. Mountaineer is the largest gas utility in the state, with 206,000 customers.

Dominion Hope, the second-largest gas utility, with 110,000 customers, filed for a 24 percent rate hike that would take effect Jan. l. It also wants to boost its monthly service charge to $12.90 a month from $7.50 a month.

Other major requests pending at the PSC include: West Virginia Power Gas Service, also owned by Allegheny Energy, which is seeking a 34 percent rate hike effective Nov. 1; Bluefield Gas Co., which is asking for a 48 percent hike effective Nov. 1; and Equitable Gas Co., which is requesting a 31.5 percent increase effective Feb. 1.

Two-year moratoriums on rate increases by Dominion Hope and Equitable expire this winter, on Jan. 1 and Feb. 1, respectively.

Nationwide, analysts expect consumers to pay about 20 percent more to heat their homes with gas this winter. That figure could be even higher, depending on the weather.

Consumers will pay about $70 billion more for natural gas this year than they did in 2002, according to the American Chemistry Council. Price levels already are at historic highs and will climb higher this winter, the council said.

Source: The Charleston Gazette

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Last Updated: 08/07/2003