BOISE, ID – August 11, 2022 – Intermountain Gas Company filed its annual purchased gas cost adjustment (PGA) application with the Idaho Public Utilities Commission to decrease its prices by an average of 2.2% or approximately $7.7 million. The PGA application is filed each year to ensure the costs Intermountain incurs on behalf of its customers are reflected in its sales prices. Additionally, the company filed an application to reduce its Residential Energy Efficiency Charge, which would decrease prices to residential customers by an average of 0.6% or approximately $1.4 million. If approved, both decreases would be effective Oct. 1, 2022.
The primary reason for the proposed PGA decrease is a small decrease in estimated gas commodity costs for the upcoming year when compared to Intermountain’s recently approved interim PGA as well as a refund of over-collected residential energy efficiency funds. If approved, a typical residential customer would see a monthly decrease of $1.36, or 2.5% based on average weather and usage. Commercial customers, on average, would see a decrease of $4.32, or 1.8%, per month.
The decrease in the residential EEC is due primarily to energy efficiency program changes and greater than forecast sales which resulted in an over-collection of funds. Intermountain is proposing a one-time refund of the current balance along with a reduction in the charge going forward. If approved, a typical residential customer would see an additional decrease of $0.33 per month, or 0.6%. When combined with the PGA decrease, an average residential customer can expect a total decrease of $1.69, or 3.2%, per month based on average weather and usage. Intermountain’s earnings will not change as a result of either of the proposed changes in prices and revenues.
“The natural gas market remains volatile with hot weather in the US, the economic rebound, and other global events keeping prices at higher levels than we have seen in many years,” said Scott Madison, executive vice president of business development and gas supply.
Intermountain Gas urges all customers to use energy wisely. For more information about the company’s energy efficiency program and available rebates for installing high efficiency equipment, visit www.intgas.com/saveenergy. Conservation tips, information on government payment energy assistance and programs to help consumers level out their energy bills over the year can be found on the company’s website www.intgas.com.
Both requests are proposals and are subject to public review and approval by the PUC. A copy of the applications are available for review at the commission, its homepage www.puc.idaho.gov, as well as the company’s website www.intgas.com. Written comments regarding the applications may be filed with the commission. Customers may also subscribe to the commission’s RSS feed to review periodic updates via email.
Intermountain Gas Company is a natural gas distribution company serving approximately 404,000 residential, commercial and industrial customers in 74 communities in southern Idaho. Intermountain is a subsidiary of MDU Resources Group, Inc., a Fortune 500 company and member of the S&P MidCap 400 and the S&P High-Yield Dividend Aristocrats indices, and is Building a Strong America® by providing essential products and services through its regulated energy delivery and construction materials and services businesses. For more information about MDU Resources, see the company’s website at www.mdu.com. For more information about Intermountain, visit www.intgas.com.
Media Contact: Mark Hanson at 701-530-1093 or [email protected].
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