IURC News Release

Indiana Utility Regulatory Commission                                                                  

302 West Washington Street, Room 306                                                                                 

Indianapolis Indiana  46204                                                                                         

317.232.2297 office    

317.233.1982 fax        

www.state.in.us/iurc

 

Contact:  Mary Beth Fisher

 

For Immediate Release                                                                                         

March 7, 2001

 

NORTHERN INDIANA FUEL & LIGHT RATES TO DECREASE

 

The Indiana Utility Regulatory Commission today approved a decrease in the gas cost adjustment for March requested by Northern Indiana Fuel & Light Company, Inc.

 

The adjusted rates in Cause No. 38431GCA28 allow the utility’s customers to get the immediate benefit of lower market prices in a heating season where pocketbooks have been pinched by the skyrocketing cost of natural gas and colder weather.  The decrease is the result of cooperation between Northern Indiana Fuel & Light, the Office of the Indiana Utility Consumer Counselor and the IURC.  It reflects an adjustment that would not normally be passed on this early in the year due to the company’s semi-annual review process.

 

Even though fuel costs are down this month, the price of natural gas at the wellhead is still higher than it was this time one year ago and customers are paying more than they did in March 2000.

 

EFFECT ON RESIDENTIAL CUSTOMERS

 

New  vs. Current

 

Bill at                            Bill at                                                   

Monthly                        Proposed                     Current             Dollar               Percent

Consumption                GCA Factor                 GCA Factor                 Decrease          Decrease

  5 Dth                          $   51.26                     $    54.22                     $ (  2.96)          (5.45%)

10                                      92.76                           98.67                        (  5.91)          (5.99%)

15                                    132.66                         141.52                        (  8.87)          (6.26%)

20                                    172.55                         184.37                        (11.82)          (6.41%)

25                                    212.45                         227.22                        (14.78)          (6.50%)

 

New vs. One Year Ago

 

Bill at                            Bill at                                                   

Monthly                        Proposed                     GCA Factor                 Dollar                  Percent

Consumption                GCA Factor                 One Year Ago              Increase              Increase

  5 Dth                          $   51.26                     $    37.69                     $  13.57               36.00%

10                                      92.76                           65.62                         27.14               41.36%

15                                    132.66                           91.95                         40.71               44.28%

20                                    172.55                         118.27                         54.28               45.89%

25                                    212.45                         144.60                         67.85               46.92%

 

The GCA procedure allows natural gas utilities to increase or decrease rates, either on a quarterly or semi-annual basis, based upon changes in the price of gas purchased from pipelines and other sources.  These rates are interim rates and are subject to refund if the utility is found to have earned more than its allowed rate of return.

 

Northern Indiana Fuel & Light Company provides natural gas utility service in areas of Allen, Dekalb, Noble, and Steuben Counties.

 

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