PUC approves settlement for smaller rate changes for Columbia Gas customers

The Pennsylvania Public Utility Commission has approved an agreement that will include a smaller rate change for Columbia Gas customers who originally applied.

The commission voted 5-0 in favor approves the partial settlement along with the Recommended Decision of PUC Administrative Law Judge Jeffrey A. Watsonaddressing the issues raised in the case and capping the overall change at $74 million annually — a 40 percent reduction from Columbia’s original request of $124.1 million in additional revenue.

The commission also rejected a proposed municipal leveling fee that would apply a charge or credit to a customer’s bill based on permit and restoration fees charged by the customer’s municipality.

Under the agreement, a typical residential customer using 70 natural gas heating systems per month will see their monthly bill change from $118.16 to $128.06 (9.06%), instead of the proposed $136.92 initially (15.88%).

The agreement includes measures to improve accessibility programs and expand outreach efforts:

• Increased funding to reduce utilization: Beginning in 2026, Columbia will increase its annual budget for the Low Income Use Reduction Program (LIURP) by $800,000.

• Improved Customer Assistance Program (CAP) notifications.: Columbia will collaborate to create plain language notices about CAP and related accessibility programs, focusing on raising awareness of:

• • Low-income customers in arrears eligible for CAP arrears forgiveness benefits.

  • Customers eligible for security deposit waiver or refund when enrolling in CAP.

  • Clients at or below 150% of the federal poverty level negotiate payment arrangements.

  • Customers disconnected for non-payment who remain disconnected during the PUC-required Annual Cold Weather Survey.

The agreement also extends the Columbia Weather Normalization Adjustment (WNA) pilot program to the next rate base case with annual reporting to OCA, OSBA and I&E.

The new distribution rates will take effect on December 14, 2024.

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