Lower prices for Columbia Gas of Kentucky customers
6/1/2009 3:17:00 PM
Price of natural gas drops almost 22%
LEXINGTON, Ky. – June 1, 2009 – Columbia Gas of Kentucky has received approval from the Kentucky Public Service Commission (PSC) for its most recent Gas Cost Adjustment (GCA). Columbia Gas of Kentucky’s gas supply cost will decrease 21.89 percent to $7.9067 per Mcf (1,000 cubic feet).
Columbia Gas of Kentucky adjusts its prices quarterly to reflect current market conditions and this adjustment reflects the lower cost of natural gas that Columbia purchases for its customers. With this Gas Cost Adjustment, a Columbia residential customer using an average of 6 Mcf of natural gas per month would see their monthly bill decrease from $81.26 to $67.96.
A customer’s monthly bill is comprised of two primary components: the gas supply cost and delivery 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. The gas supply cost includes the commodity cost, interstate pipeline charges and storage costs. The gas supply cost charges account for approximately three-fourths of a customer’s monthly bill.
Natural gas distribution companies are not permitted to earn a profit on their gas commodity costs and Columbia Gas of Kentucky passes the cost along to customers without markup.
About Columbia Gas of Kentucky
Columbia Gas of Kentucky, headquartered in Lexington, is one of the nine energy distribution companies of NiSource Inc. (NYSE: NI). Columbia Gas of Kentucky serves more than 140,000 customers in 31 Kentucky counties. NiSource distribution companies serve 3.8 million gas and electric customers primarily in nine states. More information about Columbia Gas of Kentucky is available at www.columbiagasky.com.
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