FOR IMMEDIATE RELEASE -- November 15, 2012
Contact: Kevin Kelly (573) 751-9300
Natural Gas Rates to Drop for Laclede Gas Company Customers
JEFFERSON CITY---To reflect estimated changes in the wholesale cost of natural gas as well as a change in the company’s Actual Cost Adjustment (ACA) factor, Laclede Gas Company (Laclede) customers will see natural gas rates drop under a filing that takes effect on November 16, 2012.
The ACA factor is a mechanism which tracks any over-collection or under-collection of actual natural gas costs over a 12 month period. The net over- or under-collected balances are subsequently either refunded or collected the next year.
Laclede residential customers currently pay approximately $0.59 per therm (per hundred cubic feet) of natural gas. Under this filing, the rate will drop to approximately $0.54 per therm, a decrease of approximately $0.05 per therm.
The PSC continues to encourage customers to work to reduce their energy consumption. A number of energy saving tips can be found on a website (www.beenergyefficient.org
) from the Missouri Public Service Commission and the Missouri Department of Natural Resources.
Approximately 65% to 75% of a customer’s natural gas bill reflects the cost of natural gas from wholesale suppliers. The wholesale cost of natural gas (the cost your local natural gas company must pay to its suppliers for natural gas) is not regulated by the Missouri Public Service Commission. The wellhead cost of natural gas is unregulated and is primarily driven by supply, demand and the weather. The Missouri Public Service Commission does conduct an annual regulatory review to ensure that regulated natural gas companies make prudent decisions in securing natural gas supplies for their customers.
Laclede Gas Company serves approximately 638,700 natural gas customers in Missouri.