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  PSC SETS MEETINGS ON NATURAL GAS RATE HIKE
By John Axtell
Jan 31, 2012 - 11:20:08 AM

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        The Nebraska Public Service Commission will hold 5 town hall meetings next month on the $8.3-million dollar natural gas rate hike filed by SourceGas in October and that took effect January 1st.

     The four town hall meetings will all be the same week: February 13th in Plainview, the 15th in Gering, the 16th in both McCook and Holdrege, and the 17th in Wood River. The Gering meeting will begin at 7 pm in the Gering Civic Center.
       
        Public Service Commissioner Jerry Vap is encouraging SourceGas customers to attend the meetings, ask questions, and give commission staffers their opinions  about the rate hike. He expects the commission to make its final determination in early summer, with the interim increase running until then.

      SourceGas....which operates the natural gas distribution system serving 87,000 customer in the western 2/3rds of Nebraska...is seeking the rate hike for expenses other than the cost of gas.
         
       It has increassed both the per-therm rate charged for the amount of natural gas each customer uses...regardless of which company supplies the gas...and the flate monthly fee it charges all customers.

      The per-therm rate increase is 28% for both Tier 1 and Tier 2...pushing them to a little over 50-cents per therm for Tier 1 and about 15-1/2-cents per therm for Tier 2.

      The monthly customer service charge jumped 22%...going from $12.25 to $15 for individual customers, from $14.50 to $25 for small commercial customers, and from $44.60 to $60 for large commercial customers.

     The fixed charge stirred a customer revolt in 2006 when the company, still owned by Kinder Morgan, proposed increasing it from $3-to-$7 a month to between $13.50 and $15.50.

      The PSC eventually approved a phased-in 3-year increase to an average of $10.44 in 2009...when the company applied for another increase that eventually resulted in another $4.8-million dollar increase and the current charge and fee levels last April


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