MORGANTOWN – Lower natural gas prices could mean good news for most Hope Gas customers, according to a Thursday Hope Gas filing with the state Public Service Commission.
The case is Hope’s 2024 Purchased Gas Application (PGA), which gas companies are required to file annually to account for the cost of the natural gas they buy and distribute. It’s one of two Hope rate cases before the PSC – the other being Hope’s Pipeline Replacement and Expansion Program (PREP) filed in May.
Hope is seeking to have the combined new rates take effect Nov. 1.
The PREP case proposes a rate hike while the PGA case proposes a rate cut; combined, they result in a net rate cut for most Hope customers (commercial transport customers will see hikes). Here is a look at the numbers for an average residential customer (Hope notes that the figures are averages, actual individual bills may vary).
Under the PGA case, existing Hope residential customers would see their monthly rate cut by $13.69 (13.6%).
New Hope customers who were previously served by companies Hope acquired would also see rate cuts: Peoples Gas, $24.09 (23.03%); Southern Public Service Company, $15.01, (20.91%); Standard/Bazzle, $5.33 (7.22%).
Under the PREP case, existing Hope Gas residential customers would see their rates rise by $6.08 per month – a 6.34% increase.
Former People’s Gas customers would see their bills rise $6.41 per month (6.1%); Southern Public Service Company, $4.54 (7.03%); Standard/Bazzle, $5.13 (7.36%).
Hope doesn’t do the math in its Thursday filing but here’s how the rate cuts look with the dollar figures combined.
Hope customers, a $7.61 cut; People’s, $17.68; Southern, $10.47; Standard/Bazzle, 20 cents.
Hope told the PSC that under its PGA case, its annual revenue will decrease by about $33.1 million (16.63%).
In the PREP case, the proposed hike covers two Hope programs: its General Program for its core distribution system and its Gathering Program for gathering facilities. For this year, Hope projects to spend $64,037,752 for the General Program and $2,500,000 for the Gathering Program.
For 2025, the projected General Program investment is $62,537,752 and the Gathering Program is $3 million.
The PSC referred the PGA case to an administrative law judge, who must submit an interim decision by Oct. 11 and a final decision by March 31, 2025. In the PREP case, an evidentiary hearing is set for Sept. 13.
Email: dbeard@dominionpost.com
