Increased Gas Rate is Possible
On April 2, PUCO is holding a public hearing about the proposed Dominion Energy rate increase. With the rising cost of living across the US, this does spark some concerns. The Ohio Consumer’s Council (OCC) is opposing the rate increase for several reasons. Because of its size, we’re going to talk about why Dominion is seeking a rate increase, and how it may affect your natural gas bills.
Cost Recovery Is Hiking Gas Rate
This rate increase is asking around 30% more for distribution costs. This for the infrastructure and not the cost of the gas itself, which is at a significant low right now. Dominion has put in a substantial amount of money into its systems, however, this hike would add about $100 extra to your natural gas bill every year. But, Dominion hasn’t asked for a rate increase since 2007. And I think we all agree things now are very different than they were back then. On the other hand, $100 extra every year is a lot of money. And that’s not everything Dominion wants to change.
Gas Rate Hikes And Fee Increases?
In addition, Dominion also wants to add more riders and fees to their bills. So not only is there this 30% transmission increase, but Dominion is seeking a 10 year fee-increase schedule. This would start off easy, at a little $2.95 additional charge, but could balloon up to an additional $29 every month by 2032. This means that by 2032, your bills may increase by $448 per year.
The OCC Sticks Up for Consumers
Back when these changes were announced, Dominion opened up an option for a public discussion, which will take place on April 2nd. The OCC is very much against these rate increases and has filed its opposition. You’ll also have a chance to let Dominion know how you feel about these changes. And there’s still time to lessen the blow of Dominion’s price increases. You can check out Ohio natural gas prices and see what beats the Dominion price to compare. Just because transmission rates may increase doesn’t mean your bills have to on top of that. Shopping around for the best deal is going to be incredibly important if these increases pass.
Keep An Eye On Ohio Gas Rates
Be sure to keep an ear out for what rate increases may be coming your way. While these increases haven’t passed yet, it is likely a rate increase will happen in the near future. We’ll keep you updated on all the latest natural gas news. But if you’re looking to get ahead of the curve, make sure you shop around at www.ohenergyratings.com for the best deals.