Next rate review in March, increase consistent with Energy Information Administration Projections for U.S. Winter Heating Costs
LEXINGTON, Ky. (WTVQ Press Release) – Columbia Gas of Kentucky has received approval from the Kentucky Public Service Commission for its most recent Gas Cost Adjustment .
Columbia Gas of Kentucky’s new gas supply cost, effective November 29, reflects an increase from $5.4029 per Mcf (1,000 cubic feet) to $7.2298 per Mcf, an increase of 33.8 percent. This increase is consistent with projections issued by the Energy Information Administration (EIA) in their winter heating season forecast. The new gas supply cost will remain in effect until the next scheduled Gas Cost Adjustment in March 2022.
Columbia Gas of Kentucky adjusts its gas supply cost quarterly to reflect current market conditions.
Nationally, and globally, the market price for natural gas has steadily increased in recent months. Among the many factors contributing to the increase in costs this winter season are growing international and domestic demand and lagging natural gas storage inventories.
The increases aren’t lost on communities.
“3/4 of a million people in Kentucky depend on natural gas or propane to heat their homes /// the choice in some cases is between, putting food on the table and staying warm,” U.S. Senate Minority leader Mitch McConnell said when asked about cost increases and steps the federal government is trying to take to try to head off some of the increases.
Columbia’s quarterly Gas Cost Adjustments are submitted for approval to the Kentucky PSC. As a reminder, natural gas distribution companies do not earn a profit on their gas commodity costs and Columbia Gas of Kentucky passes the cost along to customers without markup.
A customer’s monthly bill is comprised of two primary components: the gas supply cost and delivery costs. The gas supply cost includes the commodity cost, interstate pipeline charges and storage costs. The delivery charges cover
the cost of delivering the gas to the customer’s home or business through the company’s pipeline infrastructure, as well as line inspection, repair, 24-hour emergency service, etc. More information about how the company bills customers is available on the company’s website at https://www.columbiagasky.com/bills-and-payments/understanding-your-bill.
Columbia Gas officials encourage customers to enroll in the Budget Payment Plan, which spreads winter heating costs throughout the year and allows customers to pay the same amount every month. The Budget Payment Plan begins in May of each year, but customers can enroll at any time by calling 1-800-432-9345 between 7am and 7pm, Monday through Friday.
Columbia Gas offers flexible payment plans for customers experiencing financial hardship.
For more information, visit https://www.columbiagasky.com/assistance. Customers who are tenants may also qualify for assistance with utility bills through the Healthy at Home Eviction Relief Fund.
Qualifying customers may also qualify for federal assistance from the Low Income Home Energy Assistance Program through Community Action by calling 800-244-2285. Columbia Gas of Kentucky also offers a furnace replacement program for eligible low-income customers in partnership with Community Action Council and its weatherization program. To determine eligibility, customers should call Community Action at 1-800- 244-2275.