HARRISBURG — The Pennsylvania Public Utility Commission on Thursday approved a settlement that reduces a base rate increase request filed by Columbia Gas of Pennsylvania Inc. on March 30.
The Commission voted 3-0 to approve a Joint Petition for Settlement, which reduces Columbia Gas’ requested rate increase by approximately 40%. Columbia Gas’ initial request called for an overall revenue increase of approximately $98.3 million (19.91%) per year. The action by the Commission approved a revenue increase of $58.5 million (11.87%), which becomes effective Dec. 29.
Under the approved settlement, the total average monthly bill of a residential customer using 70 therms of gas per month will increase from $100.77 to $109.10 (8.27%). Under Columbia Gas’ original proposal, the average total monthly bill for the same residential customer would have increased from $100.77 to $115.37 (14.49%).
Additionally, the approved settlement maintains Columbia’s existing Weather Normalization Adjustment – a type of alternative ratemaking that the Commission continues to encourage other utilities to explore, and a type of alternative ratemaking addressed by the General Assembly with the passage of Act 58 of 2018.
